Metaplanet spent $117.2 million to acquire 1,112 BTC, achieving its annual holding target
On Monday, Metaplanet purchased 1,112 BTC for $117.2 million, reaching its annual target of 10,000 BTC holdings. At the same time, the company's board approved the issuance of $210 million in bonds to the Cayman Islands investment company EVO Fund to acquire more Bitcoin.
This batch of $210 million bonds is interest-free and will mature in December, also part of the company's 18th regular bond issuance. Although Metaplanet did not specify whether the 1,112 BTC were purchased after receiving the funds, the timing suggests that the two events may be related.
Metaplanet CEO Simon Gerovich stated in a post on X that as of Sunday, the company held 10,000 BTC, valued at approximately $947 million, with each priced at $94,697. According to CoinGecko, the trading price of Bitcoin is $106,568, with a 0.5% increase in the past 24 hours.
It is noteworthy that Metaplanet transformed from a hotel and technology company to one focused on Bitcoin reserves in 2024, committing to accumulate 210,000 BTC by 2027, which would account for about 1% of the total Bitcoin supply. In the same year, Metaplanet modeled itself after the American Strategy company, positioning itself as the first publicly traded Bitcoin agency in Asia.
In January of this year, Metaplanet planned to increase its Bitcoin holdings by 470% to 10,000 BTC and intended to use "appreciating capital market instruments" to fund this strategy.
In addition to the bond plan, Metaplanet recently announced plans to raise up to $5.3 billion by issuing 555 million new shares. Despite its increasing Bitcoin holdings, Metaplanet remains one of the most shorted stocks in Japan.
As early as May this year, analysts from 10x Research indicated that Metaplanet's valuation implied that Bitcoin prices would exceed $596,000, five times the current price.
Gerovich also mentioned in a post on X last month that Metaplanet has clearly become one of the most shorted stocks in the Japanese market. However, one can't help but question whether shorting Bitcoin can really be a successful strategy?
What are your thoughts on Metaplanet's Bitcoin investment strategy? What role do you think Bitcoin will play in future financial markets?
