Metaplanet, a Japanese company, is making headlines for its significant increase in Bitcoin [BTC] holdings.
Recently, Metaplanet, often dubbed as Asia’s version of MicroStrategy, acquired 10 billion Yen in fresh capital through its recent stock sale as part of the 11th series of Stock Acquisition Rights.
Metaplanet’s New Bitcoin Strategy
Recent data from Bitcoin Treasuries reveals that Metaplanet made two significant BTC acquisitions on October 15th and 16th, boosting the company’s total Bitcoin balance to 861.4 BTC.
This underlines the company’s intention to emulate MicroStrategy’s approach by expanding its Bitcoin holdings.
With 13,774 shareholders involved, the exercise of these rights received full support from EVO FUND, resulting in substantial proceeds.
Although Bitcoin experienced a slight 2% price decrease after encountering resistance at the $69,000 level, indicating ongoing market volatility, latest figures from CoinMarketCap show BTC trading at $66,942.
Metaplanet’s CEO Commentary
Metaplanet CEO Somin Gerovich commented on the recent developments, stating,
“Metaplanet Inc. has successfully completed the 11th Stock Acquisition Rights exercise, with a 72.8% participation rate involving 13,774 individual shareholders.”
He further mentioned,
“The Company has authorized the transfer of unused rights to EVO FUND, which has committed to exercising all transferred rights by October 22, 2024.”
Gerovich elaborated that upon the full issuance of stock acquisition rights, Metaplanet will have raised a total of 10 billion yen.
He also expressed gratitude to the shareholders for their support and financial contributions critical to the company’s objective of becoming a significant BTC holder.
The “final results” pertain to the comprehensive accounting and reporting of funds raised after EVO FUND carries out its transaction.
Overall, Metaplanet is keeping shareholders updated on the progress and reiterating its commitment to using the capital to further its Bitcoin-centric mission.
Impact on Metaplanet’s Stock Value
Following the recent stock sale, Metaplanet’s stock price witnessed a notable decline, dropping by 5.85% to below 1,200 JPY.
Despite this setback, the company has seen a remarkable 644% increase in year-to-date gains.
On the latest update, Metaplanet’s stock price dropped further by 6.09%, trading at 1,188 JPY.
This fluctuation in price mirrors the market’s immediate response to the stock sale, yet the company’s overall performance continues to showcase significant growth in the long term.
Therefore, by incorporating BTC into its strategy, Metaplanet aims to navigate Japan’s challenging economic landscape characterized by negative interest rates and quantitative easing.
This bold strategy positions the company to hedge against the country’s financial difficulties while aligning with the global trend towards digital assets.