Japanese investment company Metaplanet has once again made headlines with another substantial Bitcoin purchase, pushing its total BTC holdings to nearly 640. On October 7, the Tokyo-listed firm announced its latest acquisition of 108.78 Bitcoin (BTC), valued at approximately $6.92 million, at Bitcoin’s current price of around $63,600. This move has fueled a sharp rise in its stock, which surged over 10% during the day’s trading.
Metaplanet, often referred to as “Asia’s MicroStrategy” due to its aggressive Bitcoin buying strategy, has continued to amass BTC at an accelerated rate. The company has added more than 215 Bitcoin over the past week alone, including another significant purchase of 107.91 BTC on October 1. With its total holdings now standing at 639.5 Bitcoin, valued at approximately $40.5 million, the company’s Bitcoin investments have become a central part of its portfolio.
Stock Surge Amid Bitcoin Accumulation
The market has responded favorably to Metaplanet’s growing Bitcoin stash. On October 7, the company’s stock price soared by over 11%, reaching an intraday high of 1,047 Japanese yen (around $7), according to Google Finance. This surge reflects increasing investor confidence in the company’s strategy, which has been centered around Bitcoin acquisitions since May 2024. Since adopting Bitcoin as its treasury reserve asset, Metaplanet’s stock has tripled in value, marking a remarkable 532% gain since the start of the year.
Innovative Bitcoin Strategies
In addition to direct Bitcoin purchases, Metaplanet has been employing innovative financial strategies to grow its cryptocurrency holdings. On October 3, the company sold 223 Bitcoin put options with a $62,000 strike price, maturing on December 27, 2024. This derivatives strategy netted the company an additional 23.97 BTC, worth approximately $1.46 million at the time. Bitcoin put options allow the holder the right, but not the obligation, to sell BTC at a predetermined price, enabling Metaplanet to increase its reserves without exposing itself to unnecessary risk.
Simon Gerovich, CEO of Metaplanet, emphasized that the company’s approach is designed to generate yield while safeguarding its assets. “This strategy provides a way to increase our Bitcoin reserves without adding financial risk,” Gerovich explained. The company’s focus on options trading, alongside direct purchases, reflects its long-term belief in Bitcoin’s value and growth potential.
Also Read: Bitcoin Poised For Q4 Breakout – $70K Target In Sight Amid 63% Liquidity Surge
Strategic Partnerships for Enhanced Crypto Capabilities
Metaplanet’s Bitcoin-focused strategy has not been limited to acquisitions and derivatives trading. In September 2024, the company announced a partnership with SBI Holdings’ cryptocurrency division to enhance its crypto trading, storage, and management capabilities. SBI Holdings is one of Japan’s largest financial conglomerates, and this collaboration is expected to further bolster Metaplanet’s position in the cryptocurrency market.
As Metaplanet continues to expand its Bitcoin holdings and leverage innovative financial strategies, the company is poised to become a leading player in Japan’s burgeoning cryptocurrency space. With its stock price soaring and its partnership with SBI Holdings strengthening its crypto operations, Metaplanet is well-positioned for future growth.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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