Japanese investment firm Metaplanet Inc. announced the acquisition of an additional 200 million yen worth of Bitcoin (BTC), approximately $1.2 million. This is part of the company’s effort to double down on its Bitcoin investment strategy.
Metaplanet Buys 20.20 Bitcoin
Metaplanet said the 200 million yen purchase amounts to 20.20 BTC, purchased at an average of 9,903,441 yen per BTC. According to the announcement, the new purchase is a step toward achieving its targeted 1 billion yen worth of BTC.
*Metaplanet purchases additional 20.20 $BTC* pic.twitter.com/4tCRWAc2an
— Metaplanet Inc. (@Metaplanet_JP) July 1, 2024
In an earlier report by Crypto-Vanguard, the company disclosed its plans to issue bonds to fund additional Bitcoin purchases. According to the information, the bonds will be issued with a 0.5% yearly interest rate. This is the second series of ordinary bonds with guarantees, expected to mature by June 25, 2025.
Prior to this disclosure, Metaplanet had purchased 23.351 BTC at an average price of 10,706,180 million yen per BTC, totaling 250 million yen. Currently, the firm has a total Bitcoin holdings of 161.2677 BTC, purchased at an average of 10,231,438 yen per coin.
The aggregate amount bought by the firm translates to 1.65 billion yen or roughly $10.2 million.
Bitcoin’s Appeal to Institutional Class
Metaplanet’s Bitcoin acquisition spree is geared towards taking advantage of the cryptocurrency’s unique characteristics to secure its treasury reserve.
Specifically, Bitcoin’s scarcity attribute and apolitical monetary policy appeal to the firm as a potential hedge against inflation. Moreover, the company aims to generate more revenue as it uses Bitcoin to diversify its source of income.
Per BTC’s movement, the coin is currently trading at $63,196, demonstrating a 3.15% increase in the past day. The trading volume increased by an amazing 59% increase to $20.4 billion, suggesting increased investors’ sentiments.
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