Japanese firm Metaplanet has announced a debt sale to boost its Bitcoin holdings, further solidifying its commitment to the digital asset. According to reports, Metaplanet recently acquired an additional 124.1 BTC for $11.33 million, bringing its total Bitcoin holding to 1,142.87 BTC. This is worth approximately $104.54 million at current prices.
This acquisition was funded through a bond issuance, secured by a mortgage on a hotel property owned by one of Metaplanet’s subsidiaries.
The firm’s move to adopt Bitcoin as a strategic treasury reserve asset was first announced in May, marking a significant pivot in its corporate strategy. Since then, the company has shown an increasing dedication to acquiring Bitcoin while maintaining favorable terms.
This decision has paid off handsomely, as Metaplanet has seen significant returns on its Bitcoin investments.
Mirroring MicroStrategy’s Success
Metaplanet’s strategy echoes that of MicroStrategy, a US-based company renowned for its substantial Bitcoin investments.
Both companies have adopted a similar approach, utilizing debt instruments to fund large-scale Bitcoin acquisitions. This strategy has earned Metaplanet the nickname “Asia’s MicroStrategy.”
According to Simon Gerovich, CEO of Metaplanet, the acquisitions are solidifying the firm’s position as a “key player in the Bitcoin market”
Reaping the Rewards of a Bold Strategy
Meanwhile, the company’s aggressive Bitcoin accumulation has not gone unnoticed. Metaplanet’s shares have surged by over 1,000% year-to-date, making it the best-performing Japanese stock this year.
Likewise, the company reported a Bitcoin yield of 186.9% between October 1 and November 19, highlighting the success of its investment strategy.
This impressive performance has further fueled investor confidence. One evidence of this is the recent surge in Metaplanet’s stock price following the announcement of its latest Bitcoin purchase.
As Bitcoin gains wider acceptance and its value continues to appreciate, more companies may consider it as a viable addition to their treasury strategies.
