Metaplanet stock rises 6% as Bitcoin holdings near 400 BTC
Japanese investment firm Metaplanet has seen its share price rise by nearly 6% on the Tokyo Stock Exchange after it expanded its Bitcoin (CRYPTO:BTC) holdings to close to 400 BTC.
The company announced on September 10 that it had acquired an additional 38.46 Bitcoin for $2.1 million (300 million Japanese yen), bringing its total Bitcoin holdings to 398.8 BTC, currently valued at approximately $23 million.
This marks the firm’s tenth Bitcoin purchase since it began its strategy of accumulating the digital asset on April 23.
Despite the rally in its share price, Metaplanet is down 13.3% on its overall Bitcoin investment due to the current trading price of Bitcoin at $57,520, up 1.5% over the past 24 hours.
According to data from Bitcoin Treasuries, Metaplanet now ranks 27th globally in Bitcoin holdings among corporations, and third in Asia.
The company's stock has surged by 480% since unveiling its Bitcoin strategy in April, highlighting strong investor interest and confidence in its new direction.
The firm first announced its intention to diversify into Bitcoin in May, signaling plans to employ a range of capital market instruments to increase its Bitcoin reserves.
This strategy aligns with approaches taken by companies like MicroStrategy, which has famously invested heavily in Bitcoin to bolster its treasury.
On August 8, Metaplanet took a significant step to further its strategy by securing a loan of $6.8 million (1 billion Japanese yen) to acquire more Bitcoin.
The company's CEO, Simon Gerovich, explained that the move was designed to hedge against Japan's increasing debt burden and the rapidly depreciating yen.
“We realized that Bitcoin is the apex monetary asset and something great for our treasury to have,” Gerovich said at a Bitcoin conference in July. “We then made it our stated goal to own and to purchase as much Bitcoin as we can over time.”
Gerovich also referred to Metaplanet as a "zombie" company before it pivoted to Bitcoin investment, crediting MicroStrategy's Michael Saylor for leading the charge in corporate Bitcoin adoption.
At press time, the Bitcoin (BTC) price was $57,705.56.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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