Metaplanet, a Japan-based investment firm, has made its largest Bitcoin purchase to date, acquiring nearly 620 BTC valued at approximately $60.6 million. This acquisition comes at a time when Bitcoin's value has declined by 9.8% over the past week, causing many investors to be cautious. However, Metaplanet's decision to increase its Bitcoin holdings demonstrates its strong belief in the long-term potential of the digital asset.
Metaplanet now holds a total of 1,761.98 BTC, valued at nearly $168 million. The firm has been actively engaging in various capital market activities to finance its Bitcoin acquisitions, including stock rights issuances and zero-coupon bonds. In fact, on December 20, 2024, Metaplanet raised ¥5 billion (approximately $31.9 million) through its 5th Series of Ordinary Bonds, further strengthening its financial foundation.
Metaplanet's aggressive accumulation of Bitcoin mirrors the strategy employed by MicroStrategy, a US-based firm. By utilizing Bitcoin as a treasury asset, Metaplanet anticipates its first operating profit in seven years and forecasts a revenue increase for the fiscal year 2024. The firm has also benefited from the use of Bitcoin put options and the performance of its Royal Oak Hotel in Tokyo.
Despite the recent price correction in Bitcoin, Metaplanet's actions reflect a growing confidence in the cryptocurrency's long-term viability. The firm's significant increase in Bitcoin holdings and strategic financial maneuvers highlight its belief in the potential of digital assets. As traditional financial markets experience volatility, institutional interest in digital assets continues to grow.
Metaplanet's BTC yield has shown impressive growth between October 1 and December 23, 2024, demonstrating the effectiveness of its investment strategy. As the firm continues to expand its Bitcoin holdings and leverage innovative financial instruments, it is well-positioned to make a significant impact in the world of cryptocurrency investment.