Metaplanet Expands Bitcoin Holdings, Becomes Asia’s Largest Institutional Investor

Metaplanet’s Strategic Bitcoin Investments Continue

Japan-based investment firm Metaplanet is ramping up its strategic investments in Bitcoin (BTC), further establishing itself as one of the largest institutional holders of the cryptocurrency in Asia. On October 28, the company announced its acquisition of an additional 156.78 BTC, valued at approximately $10.4 million. This recent purchase brings Metaplanet’s total Bitcoin holdings to 1,018.17 BTC, with the overall worth of its Bitcoin assets now around $68.8 million at current market prices.

Bitcoin as a Reserve Asset

Back in May, Metaplanet made a pivotal decision to designate Bitcoin as a strategic treasury reserve asset. This move was interpreted as a clear signal of the company’s preference for Bitcoin as a long-term investment vehicle. Initially, Bitcoin purchases were made in a measured manner, but since the end of September, the pace of acquisitions has significantly accelerated. Notably, during the period from September 30 to October 28, Metaplanet made substantial purchases, acquiring a total of 619.338 BTC.

The financing for these Bitcoin purchases predominantly came from the company’s capital market activities and operational revenues. This strategy aligns with Metaplanet’s broader goal of enhancing its revenue streams through cryptocurrency investments. Furthermore, just last week, the company announced a capital increase of approximately 10 billion yen (around $66 million) through a share purchase rights plan, which successfully onboarded 13,774 new shareholders.

Introducing the BTC Return Metric

As part of its growing Bitcoin investment strategy, Metaplanet has developed a unique performance metric called the “BTC Return.” This innovative metric measures the percentage change between the company’s Bitcoin assets and the value of its publicly traded shares. By utilizing this metric, Metaplanet aims to provide a clearer analysis of how Bitcoin investments impact the company’s stock values and offers investors a more comprehensible understanding of the contribution of cryptocurrencies to the overall company value.

For instance, between October 1 and October 28, Metaplanet’s BTC Return rose significantly by 155.8 percent. The company is focused on meticulously assessing how its Bitcoin investments influence its overall valuation, leveraging this new metric for better transparency.

Market Impact and Leading Position

Metaplanet’s status as the largest institutional Bitcoin investor in Asia has positively impacted its share prices. Following the latest announcements, the company’s shares surged by 7 percent, reaching 1,150 yen. According to data from Google Finance, Metaplanet’s shares have skyrocketed by an impressive 610 percent since the start of the year. By surpassing other institutional investors, such as Hong Kong-based Meitu Inc., which holds a total of 940.9 BTC, Metaplanet has claimed the leading position in the region.

Currently, according to Bitcoin Treasuries data, Metaplanet ranks 19th among the top 20 companies globally that hold the most Bitcoin.

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