Metaplanet continues to actively invest in Bitcoin, announcing the acquisition of 581 BTC for roughly $61 million. With this purchase, the company aims to increase its holdings and reach an ambitious target of 30,000 BTC by the end of 2025.
New Bitcoin Purchase
On August 12, Japanese firm Metaplanet announced the purchase of 581 BTC for approximately $61 million, or an average price of $118,519 per coin. This brings its total holdings to 18,113 BTC, valued at around $1.83 billion at current prices.
Metaplanet's Strategy
Shifting its focus to Bitcoin last year, Metaplanet transformed from a hospitality business into a publicly traded company holding Bitcoin. CEO Simon Gerovich framed this change as a hedge against yen weakness and sovereign debt risks, based on a two-stage strategy. The first phase focuses on aggressive Bitcoin accumulation through equity issuance and debt financing, with a long-term vision to control 1% of Bitcoin's total supply.
Company Challenges and Prospects
Metaplanet's stock has fallen around 37% in the past month, with its market capitalization reducing by 44%. This sell-off is largely attributed to profit-taking by investors following significant gains. Despite this, Metaplanet remains committed to its long-term strategy, recently announcing plans to raise $3.7 billion to continue purchasing Bitcoin.
Metaplanet's attempts to increase its Bitcoin portfolio highlight its ambitious approach to cryptocurrency, despite current market fluctuations. The company remains focused on achieving significant Bitcoin holdings by the end of 2025.
