MicroStrategy imitator Metaplanet has raised a fresh $61 million to buy more Bitcoin.
Metaplanet Inc, also referred to as Asian MicroStrategy, has raised 9.5 billion yen, which is equivalent to approximately $61 million, to acquire more Bitcoin BTC $70 976 24h volatility: 11.5% Market cap: $1.42 T Vol. 24h: $133.48 B . The Japanese firm secured the capital in two tranches of bond issuance. The first was a resolution to issue 5 billion yen, or $31.9 million, as the fifth ordinary bond, and the other 4.5 billion yen ($28.7 million) bond issuance.
Metaplenet to Fuel Its Bitcoin Reserve Strategy
Both bonds have a 0% interest rate, and their maturity date is June 16, 2025. Metaplanet CEO Simon Gerovich stated that the fund will kickstart and accelerate the Bitcoin purchases initially planned for next year.
メタプラネットは、EVO FUNDを割当先とする第5回普通社債で50億円を調達し、第12回新株予約権に関連する総調達額が95億円に達しました。この資金により、2025年に予定していたビットコイン購入を今年中に前倒しして実行します。ビットコイン購入の結果については、後日改めてお知らせいたします。… https://t.co/RLw3ADFNRr
— Simon Gerovich (@gerovich) December 20, 2024
Metaplanet began a Bitcoin accumulation spree in May 2024 and has consistently serviced the strategy with other subsequent acquisitions.
Japan’s economic landscape, particularly the depreciating yen and the country’s high government debt, were some factors that influenced Metaplanet’s strategy. With Japan’s public debt projected to reach $11.224 trillion by 2029, Metaplanet views Bitcoin as an investment and a crucial hedge against traditional financial risks.
At first, the firm secured a 1 billion yen loan to continue its Bitcoin acquisition spree, but a few months ago, it hit its investment target for that loan.
At this time, it had successfully stacked more than 300 BTC in its holding. On August 20, Metaplanet announced that it had invested 500 million yen ($3.4 million) to acquire 57.273 more BTC. The Japanese financial firm currently holds more than 1000 BTC, closely following other companies that have Bitcoin as a treasury asset.
Metaplanet’s Bitcoin Strategy Brings Great Yield
Since adopting a Bitcoin strategy, Metaplanet has bagged several achievements. In a matter of a few months, the Bitcoin acquisition strategy pushed Metaplanet to become the biggest corporate holder of Bitcoin in Asia. Recently, it announced the launch of its new Bitcoin Treasury operations business line. The goal is to heavily accumulate digital assets as part of its financial management strategy.
As of December 18, the company had accumulated 1,142.287 BTC, worth $110.3 million based on current market prices. Bitcoin is trading at $94,860.00 after losing 7.38% in under 24 hours. The coin is in a freefall, leading other altcoins to more than 7 months fall.
Metaplanet’s Board of Directors took the initiative for the Bitcoin treasury management as a key strategic focus. Metaplanet’s new “Bitcoin First, Bitcoin Only” approach is aimed at leveraging long-term debt and periodic equity issuances to continuously accumulate Bitcoin as an alternative to holding the weakening Japanese yen.
Metaplanet has adopted BTC Yield as its primary performance metric. This metric measures the rate of change in the company’s total Bitcoin holdings compared to the fully diluted number of outstanding shares. To maximize BTC Yield, Metaplanet plans to actively utilize various capital-raising instruments such as loans, equity issuances, and convertible bonds to purchase and accumulate Bitcoin.
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