Metaplanet Expands Bitcoin Portfolio Amid Market Rebound
Metaplanet Inc., a Japanese publicly traded company, held an extraordinary general meeting, where shareholders approved several resolutions aimed at enhancing corporate value and expanding business prospects. These included a strategic shift towards Bitcoin in its treasury management, a 10-for-1 share consolidation effective August 1, 2024, and the election of five new directors. The firm has become the first listed Asian corporation to fully adopt Bitcoin as its treasury reserve asset, reflecting a growing trend among Asian multinationals.
The company announced a recent purchase of 20.195 Bitcoin units, valued at approximately 200 million yen ($1.24 million), bringing its total Bitcoin holdings to 161.2677 units. This purchase was part of a broader strategy to strengthen its Bitcoin reserves, with the firm also establishing an offshore subsidiary in the British Virgin Islands to focus on Bitcoin purchases and related businesses. Metaplanet's Bitcoin investments have already shown a positive impact, with Bitcoin's price surpassing $63,000, contributing to a 1% rise in the company's share price and a 525% increase year-to-date.
In addition to its Bitcoin strategy, Metaplanet has issued a second series of ordinary guaranteed bonds to raise 1 billion yen, with proceeds used to further invest in Bitcoin. The bonds, each valued at 50 million yen with an annual interest rate of 0.5%, are guaranteed by the company’s Representative Director and President, Simon Gerovich. The company aims to leverage this financial strategy to navigate Japan's economic challenges and enhance its market position.
