Investment firm Metaplanet Inc. has continued to accumulate Bitcoin (BTC) amid the ongoing economic challenges of Japan. According to a recent company announcement, Metaplanet has made yet another purchase, boosting its entire BTC holding while also triggering a 21% surge in its stock price during Monday morning trading.
Metaplanet Adds More Bitcoin, Hits 1Bn Yen Investment Plan
The latest purchase by the firm saw it add an additional 20.381 BTC, which translates to roughly 200 million yen or $1.27 million. This acquisition brings the company’s total Bitcoin reserves to 245.992 BTC, completing the plan it announced on June 24 to invest 1 billion yen in the cryptocurrency.
Metaplanet’s decision to diversify its treasury reserve assets borders on Japan’s persistent economic pressures. These include high government debt, extended periods of negative real interest rates, and the resulting currency devaluation. All these serve as key factors influencing the firm’s strategy.
“We see Bitcoin as a robust hedge against the prevailing economic uncertainties,” stated a Metaplanet spokesperson. This has been the same sentiment expressed in May when the company first announced its adoption of Bitcoin. Now, Metaplanet stands as one of many institutions worldwide seeking refuge in cryptocurrencies amid global financial volatility.
Metaplanet’s strategy has been more than consistent over recent months, with notable purchases recorded on April 23, May 10, June 11, July 1, July 8, and July 16. According to data from Bitcointreasuries.net, the average purchase price for these acquisitions stands at approximately 9.96 million yen (about $63,250) per BTC.
Stock Soars
Interestingly, the market has responded relatively swiftly to Metaplanet’s latest Bitcoin purchase. The firm’s stock surged by 21% during Monday’s morning session, according to data from Google Finance. This shows that investors are responding positively to the news, viewing the increased Bitcoin holdings as a bullish sign of Metaplanet’s forward-thinking investment strategy.
As earlier noted, institutional adoption of cryptocurrencies has recently gained momentum. That is as traditional financial institutions and corporations seek alternative stores of value and investment opportunities beyond conventional assets.
