- Firm now holds upwards of 360 BTC
- Metaplanet’s strategy expected to be the precursor to other companies following suit
Japan’s Metaplanet is in the news again. Within just over a week of the firm taking a JPY 1 Billion loan to purchase more BTC, the firm has now bought an additional 57 BTC worth over $3 million. Owing to the same, the firm’s Bitcoin holdings are now worth over 360 BTC or $23 million.
The same was first revealed by a public notice released by the firm itself. According to the same dated 20 August,
“…we hereby announce that we have purchased additional 500 million yen worth of Bitcoins as below. With this purchase, we have completed the purchase of 1 billion yen worth of Bitcoins.”
Here, it’s worth pointing out though that this isn’t expected to be the end of the company’s BTC purchases. While the firm has bought the 110 BTC it had earmarked to buy on the back of the aforementioned loan, it intends to buy another $58 million worth of BTC.
That being said, it should be mentioned that at press time, Metaplanet’s total holdings hadn’t been updated on Bitcoin Treasuries yet.
Not just one plan…
Over the past few months, Metaplanet has gone to great lengths to explore options that would allow it to buy more of the world’s largest cryptocurrency. Back in July, for instance, it announced a JPY 10.08 billion Gratis Allotment of Stock Acquisition Rights to facilitate the purchase of more BTC.
Similarly, it joined the ‘Bitcoin for Corporations’ initiative, in support of other firms that view Bitcoin as a viable treasury reserve asset.
By taking steps like these, Metaplanet is taking MicroStrategy’s lead, with the latter now the largest BTC holder globally. Both these firms intend to hedge the company against inflationary risks, while also diversifying the asset base. According to these companies, not only does BTC offer significantly high returns, but it is also a good store of value.
MicroStrategy and now, Metaplanet’s Bitcoin plans are noteworthy, especially because their actions can be seen as precursors to more corporations taking similar steps. As more companies dive into BTC and by extension, the larger cryptocurrency market, the value of the asset class will only go higher.
Tesla’s purchase of BTC and the subsequent impact the announcement had on the price is a case in point.
This news is republished from another source. You can check the original article here
