Metaplanet Acquires Additional 20 Bitcoin, Increasing Total Holdings to 161 BTC

Metaplanet Acquires Additional 20 Bitcoin, Increasing Total Holdings to 161 BTC

Japanese investment firm Metaplanet has announced the acquisition of an additional 20.2 Bitcoin, as part of its ongoing strategy to bolster its BTC holdings. The Tokyo-based firm revealed in a statement that it had invested 200 million yen (approximately $1.2 million) to acquire the additional BTC, bringing its total holdings to 161.3 BTC.

The company shared news of the purchase on its social media account, X, shortly after the close of trading on the Tokyo Stock Exchange.

Metaplanet’s $6M Bitcoin Investment Strategy

Just last week, Metaplanet outlined its intention to expand its Bitcoin holdings with a $6 million investment, funded by a recent bond sale. Metaplanet, often referred to as “Asia’s MicroStrategy,” stated that Bitcoin holdings designated for long-term holding will be recorded at their acquisition cost and will be exempt from taxation based on end-of-term market value assessments. Other Bitcoin holdings will be evaluated at market prices each quarter, with any gains or losses recorded under non-operating income or expenses.

In April, Metaplanet revealed its decision to incorporate Bitcoin into its treasury assets, citing several factors. The firm aims to minimize its exposure to the Japanese yen, which has been significantly impacted by Japan’s low-interest-rate environment. Additionally, Metaplanet highlighted Bitcoin’s potential as a hedge against inflation, a tool for macroeconomic resilience, and a source of long-term capital appreciation. The decision to add Bitcoin to its reserve assets has positively impacted Metaplanet’s shares.

Echoing MicroStrategy’s Approach

Metaplanet’s strategy of accumulating Bitcoin mirrors that of MicroStrategy, a software developer based in Tysons Corner, Virginia. MicroStrategy has been consistently purchasing BTC for nearly four years and currently holds over 226,000 BTC, representing more than 1% of the total supply of Bitcoin that will ever be issued.

Corporate Treasurers Explore Bitcoin Amid Economic Uncertainty

The ongoing macroeconomic uncertainties, characterized by increasing inflationary pressures and geopolitical tensions, have prompted corporate treasurers to explore the inclusion of Bitcoin as a reserve asset. Digital asset prime services platform Abra recently launched a service for corporates seeking to hold cryptocurrencies as reserve assets on their balance sheets.

Marissa Kim, the Head of Asset Management at Abra Capital Management, noted a growing trend of non-crypto-native businesses expressing interest in utilizing Bitcoin as a treasury reserve asset. “We are increasingly seeing clients that are business owners and CEOs of small to medium-sized businesses (SMBs), particularly in real estate, showing interest in buying BTC for their treasury or borrowing against BTC to finance business needs or real estate projects,” Kim said.

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