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From Yen to Bitcoin: Metaplanet Invests ¥250 Million More, Shares Skyrocket

From Yen to Bitcoin: Metaplanet Invests ¥250 Million More, Shares Skyrocket

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Japan-based Metaplanet has announced an additional ¥250 million Bitcoin purchase, significantly increasing its holdings and reinforcing its aggressive Bitcoin acquisition strategy.

Metaplanet To Buy More BTC

Japan-based Metaplanet has announced plans to purchase an additional ¥250 million (approximately $1.6 million) worth of Bitcoin. 

The company tweeted, 

“Metaplanet directors authorize [the] purchase of [an] additional ¥250 million of $BTC.” 

This move, approved by the board, marks another significant step in Metaplanet’s aggressive Bitcoin acquisition strategy. Upon completion, this purchase will significantly increase Metaplanet’s Bitcoin holdings from the current 117.72 BTC, which is valued at ¥1.2 billion ($7.7 million).

Metaplanet: The Japanese MicroStrategy

Metaplanet has often been dubbed the Japanese MicroStrategy due to its bullish stance on Bitcoin. Like MicroStrategy, which is known for its substantial Bitcoin investments, Metaplanet aims to accumulate Bitcoin over time. 

On April 8, it became the first publicly traded company on the Tokyo Stock Exchange to invest in Bitcoin, allocating ¥1 billion (approximately $6.25 million at the time) for their initial purchase. The firm declared Bitcoin a core treasury asset, prioritizing a Bitcoin-first and Bitcoin-only approach. 

Strategic Bitcoin Accumulation

The decision to focus on Bitcoin stems from Metaplanet's belief in its long-term value appreciation potential despite its volatility. The latest acquisition follows the company’s earlier investment this month of 19.87 Bitcoin, valued at around 200 million Japanese yen. This consistent pattern of Bitcoin acquisitions underscores Metaplanet's commitment to its investment strategy and confidence in Bitcoin’s future value.

Transparent Bitcoin Management

Metaplanet has outlined a transparent approach to managing its Bitcoin holdings. Bitcoins acquired for long-term purposes will be recorded at cost, ensuring stable accounting treatment. In contrast, Bitcoins held for short-term purposes will be revalued quarterly at market value. Any unrealized gains or losses from these short-term holdings will be listed under non-operating income, providing a clear reflection of market changes.

Impact on Share Price

Metaplanet's strategic focus on Bitcoin has significantly boosted its share price. According to Google Finance data, Metaplanet’s shares have surged by 287% year-to-date. This increase in share price is attributed to the rising value of Bitcoin, which has positively impacted Metaplanet's overall market value and potential profitability. 

Last week, Metaplanet’s share price soared to 93 Japanese yen, pushing its market cap close to $1 billion. Dylan LeClair, the director of the company’s Bitcoin strategy, highlighted this achievement, noting that Metaplanet has been Japan’s top-performing stock for two consecutive days.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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