Metaplanet Turns to Bitcoin with Massive 4.5 Billion Yen Bonds
Metaplanet Inc., a publicly traded company on the Tokyo Stock Exchange, is significantly expanding its Bitcoin portfolio. The Japanese Bitcoin consulting firm recently issued ¥4.5 billion ($30 million) in zero-interest bonds to fund its Bitcoin acquisition strategy.
According to a disclosure dated December 17th on the company’s website, this marks the fourth issuance in its bond series, formally named Metaplanet Inc. 4th Series Ordinary Bonds. Each bond is valued at ¥250 million, collectively totaling ¥4.5 billion. These bonds are set to mature on June 16th, 2025, and carry no interest.
Metaplanet’s Quest to Become Asia’s Leading Bitcoin Holder
The December bond issuance underscores Metaplanet’s ambitious plan to solidify its position as Asia’s largest Bitcoin holder. The company, which treats Bitcoin as a primary reserve asset, uses excess cash to invest in the cryptocurrency due to its scarcity and apolitical monetary policies, as stated in its corporate manifesto.
Funds raised from these bonds will be released in tranches, facilitating the acquisition of additional Bitcoins. This strategy is part of Metaplanet’s long-term vision to maximize its Bitcoin holdings and capitalize on its potential growth.
Strategic Expansion of Bitcoin Holdings
Metaplanet Inc. began its Bitcoin-buying spree in April 2024 and has already amassed 1,150 Bitcoins, valued at $122.67 million at the time of writing. The company’s investment strategy aligns closely with MicroStrategy’s approach under Michael Saylor. By issuing zero-interest bonds, Metaplanet minimizes short-term financial risks while raising substantial funds to boost its digital asset reserves. Investors benefit from these bonds as they are offered at a discount and repaid in full upon maturity.
The bond issuance has positively impacted market sentiment. Shares of Metaplanet surged by 51% in the past five days, pushing the company’s market capitalization to over $1 billion as its stock reached a high of ¥4,270. CEO Simon Gerovich expressed gratitude for the market’s overwhelmingly favorable response.
Bitcoin Rewards Program
In addition to its bond strategy, Metaplanet introduced a Bitcoin Rewards Program to further engage its shareholders. The program includes a ¥30 million ($199,500) prize pool to reward owners of at least 100 shares as of December 31, 2024. Using a lottery system, 2,350 shareholders will be selected to receive varying amounts of Bitcoin.
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