Metaplanet Inc., listed on the Tokyo Stock Exchange, is intensifying its initiative to expand its Bitcoin holdings. Reports indicate that the Japanese consulting firm specializing in Bitcoin has raised ¥4.5 billion ($30 million) through the issuance of zero-interest bonds to support its strategy for acquiring Bitcoin.
This update regarding the bond issuance was shared through a disclosure on the company’s website dated December 17th. This issuance marks the fourth in the series, officially termed Metaplanet Inc. 4th Series Ordinary Bonds.
The total bond value amounts to ¥4.5 billion, with each bond priced at ¥250 million. According to the company’s disclosure, these bonds are interest-free and are set to mature on June 16th, 2025.
*Metaplanet to issue 4.5 billion yen in Ordinary Bonds to Accelerate Bitcoin Purchases; Repayment to be made from Warrant Exercise Proceeds* pic.twitter.com/oS93rD7uXk
— Metaplanet Inc. (@Metaplanet_JP) December 17, 2024
Metaplanet’s Ambition to Become Asia’s Largest Bitcoin Holder
The December bond issuance marks the fourth series aimed at funding Metaplanet’s Bitcoin strategy. As a publicly listed entity, Metaplanet uses Bitcoin as a key reserve asset and plans to allocate its surplus cash towards Bitcoin investments.
In line with its corporate philosophy, Metaplanet is pivoting towards Bitcoin due to the asset’s distinctive attributes, including its scarcity and unbiased monetary policies.
This latest bond release is a crucial aspect of the company’s ambition to emerge as the largest holder of Bitcoin in the region. As indicated in its disclosures, the bonds will be rolled out in stages, facilitating financial resources for purchasing Bitcoin.
A Strategic Initiative to Enhance Bitcoin Holdings
Metaplanet Inc. initiated its Bitcoin acquisition endeavors in April 2024. To date, the company has successfully accumulated 1,150 Bitcoins valued at approximately $122.67 million. Metaplanet’s investment strategy closely resembles that of MicroStrategy, under the leadership of Michael Saylor.
The introduction of new bonds is anticipated to accelerate the firm’s investments in digital assets. By offering bonds with no interest, the company aims to navigate short-term financial challenges while utilizing the injected capital to expand its digital asset portfolio. This setup also benefits investors, as the bonds are sold at a discount yet repayable in full upon maturity.
The stock market has reacted positively to these developments, with Metaplanet’s shares jumping by 51% over the past week. The company now boasts a market capitalization exceeding $1 billion, following shares peaking at ¥4,270. Simon Gerovich, the CEO of Metaplanet Inc., has expressed gratitude for the market’s overwhelmingly favorable response to this initiative.
Metaplanet’s BTC Rewards Program
In addition to its bond issuance strategy, Metaplanet has unveiled its Bitcoin Rewards Program. Recently, the firm initiated a prize pool of ¥30 million ($199,500) to reward shareholders who own at least 100 shares as of December 31, 2024.
A lottery system will be employed to randomly select 2,350 shareholders who will receive differing amounts of Bitcoin.
Image Source: tungtaechit / Shutterstock
