Finance

Metaplanet Using ¥1 Billion Bond to Boost Bitcoin Holdings

Jun 24, 2024 1 min read

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Tokyo-based investment firm Metaplanet Inc. has announced plans to invest 1 billion yen (approximately $6.26 million) in Bitcoin, funded by the issuance of ordinary bonds. This strategic move aims to hedge against the volatility of the Japanese yen and mitigate risks associated with Japan's high debt levels. The bonds, approved by Metaplanet's board, will pay an annual interest rate of 0.5% and are set to mature in June 2025.

Metaplanet's current Bitcoin holdings stand at 141.0727 BTC, valued at around 1.45 billion yen, with an average acquisition price of 10,278,391 yen per Bitcoin. This recent investment follows a similar strategy adopted by U.S.-based MicroStrategy, which uses Bitcoin as a hedge against economic instability. The firm plans to raise an additional 935 million yen through stock acquisition rights to further expand its Bitcoin holdings. Despite fluctuations in Bitcoin's price, Metaplanet's strategy reflects a growing trend among institutional investors to use cryptocurrency as a means of diversification and risk management.

#bitcoin #cryptocurrency #markets #tech

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