Metaplanet Purchases 500M Yen in Bitcoin: Can It Surpass MicroStrategy?

Metaplanet, a publicly listed Japanese investment firm, announced on Tuesday that it has bolstered its Bitcoin stash with an additional 57 BTC. This decision follows a recent loan announcement, where the company revealed plans to borrow funds for purchasing bitcoins valued at 1 billion Yen. The expansion of its crypto holdings reflects Metaplanet’s growing confidence in the digital asset market.

• Metaplanet On Bitcoin Buying Spree
• MicroStrategy Plans To Buy $2 Billion In Bitcoin

Metaplanet On Bitcoin Buying Spree

Metaplanet, dubbed ‘Asia’s MicroStrategy,’ has officially announced on August 13th the purchase of 57.103 BTC, valued at 500 million Yen ($3.3 million). This acquisition was made at an average cost of 8,756,107 yen per BTC, indicating the company’s aggressive Bitcoin buying spree. Fueled by recently raised funds of 1 billion Japanese yen at a low 0.1% APR, Metaplanet still has 500 million Yen remaining for further BTC purchases. As a result of this recent transaction, the company’s total bitcoin holdings have escalated to 303.095 bitcoins, equivalent to 2.95 billion Yen. Exploiting the low interest rates in Japan, Metaplanet has strategically borrowed funds to invest in bitcoins, masterfully executing Japanese Yen carry trades—buying Yen cheaply and using them to purchase global assets. Despite this financial maneuvering, the Tokyo Stock Exchange-listed company’s stock price dipped 5.80% to 1,121 JPY on Tuesday, though it has previously surged over 600% since adding BTC to its balance sheet.

MicroStrategy Plans To Buy $2 Billion In Bitcoin

It is obvious that Metaplanet is adopting MicroStrategy’s playbook for its BTC acquisition, leading some to predict fierce competition between the two companies in the future. As MicroStrategy, the largest Bitcoin holder in the US, continues to expand its crypto holdings, other companies like Marathon Digital and Selmer Scientific are following suit, adding bitcoins to their balance sheets. Recently, MicroStrategy unveiled plans to raise up to $2 billion for additional bitcoin purchases, funding this venture by selling MSTR class A shares. Currently, the company boasts a stash of 226,500 Bitcoin, valued at nearly $14 billion, though this figure fluctuates with the market. On Monday, MSTR shares closed down 2.89% at $131.46, reflecting a broader market trend that has seen the stock drop over 18% in the past month due to Bitcoin’s recent volatility. Despite this, BTC prices are currently trading at $58,937, a 1% increase in the last 24 hours, within a 24-hour range of $57,860 to $60,680. However, trading volume has decreased by 24% in the past day, suggesting a shift in trader sentiment. Adding to the market’s uncertainty, a CoinGape analysis points to a potential “death cross” on the Bitcoin chart, which could signal a significant price drop.