Japanese firm Metaplanet has entered the CoinShares Blockchain Global Equity Index (BLOCK Index) following its strong BTC accumulation strategy.
By Bhushan Akolkar
Edited by Julia Sakovich
Updated
3 mins read
In its latest announcement earlier today, Japanese firm Metaplanet announced its inclusion into the CoinShares Blockchain Global Equity Index (“BLOCK Index”) while sharing space with top crypto firms like MicroStrategy and Coinbase.
This is the first time participation of Metaplanet in a global equity index, all thanks to its Bitcoin adoption strategy adopted in May 2024. In the last five months, the Japanese firm has now accumulated more than 1,000 Bitcoins on its balance sheet.
CoinShares has introduced the BLOCK Index with the goal of tracking the performance of public-traded companies active in the blockchain and the crypto sector. The Index comprises 45 leading companies globally and provides investors a diversified exposure to businesses while advancing blockchain technology.
The index’s selection process uses a blockchain-specific scoring system, assessing companies on five key criteria. This includes earnings significance, earnings potential, development stage, competitive positioning, and sustainability, per the Metaplanet filing.
Some of the top crypto firms in the BLOCK Index include Coinbase, Microstrategy, and SBI Holdings. Bloomberg reports that Metaplanet’s estimated starting weight within the BLOCK Index is approximately 2.5%. Company CEO Simon Jerovich shared further data regarding the BLOCK Index and the company distribution.
These are the top 20 stocks by weight out of 45 in the BLOCK Index. The index is market cap-weighted, so companies with larger market caps hold a higher weight pic.twitter.com/nX3q5ahNrl
— Simon Gerovich (@gerovich) November 5, 2024
Dylan Leclair, who leads the Bitcoin BTC $95 983 24h volatility: 0.1% Market cap: $1.90 T Vol. 24h: $88.80 B adoption strategy at Metaplanet recently shared his outlook about having BTC as an asset class during a recent interview with popular Bitcoin investor Mike Pompliano.
Dylan LeClair outlined the emerging corporate strategy of adding Bitcoin to company balance sheets. LeClair explained how this approach operates, highlighting examples from companies like MicroStrategy, Metaplanet, and Semler Scientific, which have adopted this strategy.
According to LeClair, if Bitcoin-backed assets become a core element of corporate finance, understanding this trend could prove crucial for future financial planning and investment.
This is a masterclass on bitcoin as a treasury asset.
I sat down with @DylanLeClair_ and he explained how this strategy works, why corporations are putting bitcoin on their balance sheet, and what the results have been so far.
Dylan uses examples of MicroStrategy, Metaplanet,… pic.twitter.com/7YJUuJDjYC
— Anthony Pompliano 🌪 (@APompliano) November 4, 2024
On Monday, November 4, another public-listed firm Semler Scientific disclosed its Bitcoin purchases during its third-quarter earnings. It is equally competing with Metaplanet, as Semler takes its total Bitcoin holdings to 1,058.
Since its previous acquisition in late August, Semler purchased an additional 47 BTC for an investment value of over $3 million. In total, the company has spent more than $71 million to acquire over 1,000 Bitcoins.
“We are capitalizing on the opportunity to maximize stakeholder value by accumulating Bitcoin. We plan to continue to purchase bitcoin with cash from operations and with cash proceeds from our sales under our ATM program. In addition, we are exploring additional financing opportunities that will enable us to acquire even more Bitcoin,” Eric Semler, the chairman of Semler Scientific said.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
