Journalist
Posted:
- Metaplanet reinforces its bullish stance on Bitcoin by pledging $61 million.
- The company’s shares are falling despite aggressive BTC acquisition.
Japanese investment giant Metaplanet Inc has strengthened its bullish stance on Bitcoin [BTC] by investing nearly $61 million in the largest cryptocurrency.
Metaplanet’s Bitcoin strategy is strong
On December 23, the company announced that it had acquired another 619.7 BTC at an average price of 15.3 million yen ($97,786) per Bitcoin. This brings the total holdings to 1,761.98 BTC, valued at over $164 million at current prices.
This strategic move, valued at approximately $167.1 million, highlights Metaplanet’s confidence in Bitcoin’s potential as a key asset in its portfolio.
Notably, the Tokyo-listed company’s latest acquisition was financed through a recent 9.5 billion yen ($60.6 million) bond issuance.
This coincided with…
Bitcoin experienced a notable decline. The king coin fell below the $100,000 mark to $94,026.54 at the time of writing. So according to a weekly dip of 12.06% CoinMarketCap.
This highlighted that Metaplanet embraced the ‘buy the dip’ philosophy and underscored his long-term bullish outlook for the cryptocurrency even amid short-term market volatility.
For context, Metaplanet has been steadily increasing its BTC holdings since the cryptocurrency was adopted as a strategic treasury reserve in May.
Last week, the Tokyo-listed company reaffirmed its commitment by announcing plans to accelerate its acquisition of Bitcoin through the issuance of debt.
Is Metaplanet following in MicroStrategy’s footsteps?
Interestingly enough, Metaplanets approach reflects the strategy of the American software giant MicroStrategy. The company began investing in BTC in 2020 to maximize shareholder value.
With 444,262 BTC worth over $41 billion, MicroStrategy’s model has set a precedent that Metaplanet seems eager to emulate.
MicroStrategy has long leveraged its Bitcoin holdings by securitizing the security, giving investors indirect exposure through its Nasdaq-listed shares.
Impact on the share price
Likewise, Metaplanet has pursued aggressive BTC acquisitions. Despite this, the company’s stock performance has seen fluctuations lately.
On December 23, Metaplanet shares fell 0.98% to close at 3,540 yen ($22.52). Furthermore, as according to the latest figures of Google Financethe share fell further. The price closed at 3,220 yen on December 24, down 9.04% in just one day.
Meanwhile, growth this year (YTD) was an impressive 1,982%, according to Yahoo Finance. However, the recent dips indicated increased market volatility despite the company’s commitment to Bitcoin.