Japanese technology firm Metaplanet emulates MicroStrategy's approach to enhance its Bitcoin portfolio, leading to substantial growth in value since the year's start.
Metaplanet’s Expanding Bitcoin Portfolio
In April 2024, Metaplanet announced its Bitcoin purchasing strategy for the first time. Since May, the company has methodically increased its BTC holdings to over 1,000 through weekly acquisitions. This initiative has attracted investor interest and positively influenced the company's stock performance. In the past six months, Metaplanet’s shares have surged by 500%, reaching a price of 1,800 Japanese yen. CEO Simon Gerovich stated that “as of today, the increase in our Bitcoin portfolio is valued at 4.27 billion yen (approximately 28 million dollars).”
High BTC Yield and New Performance Indicators
In its latest quarterly financial report, Metaplanet announced achieving a 155% Bitcoin yield. The company established Bitcoin Yield as a new key performance indicator to measure the benefits of its strategy for shareholders. This KPI aims to clarify the financing strategy for Metaplanet’s investors. MicroStrategy has also increased its Bitcoin purchases in 2024, achieving a 26% BTC yield to date. If Metaplanet continues on this trajectory, investors can anticipate a substantial rise in share prices in the coming years.
Expectations for Future Events
The potential re-election of Donald Trump as President of the United States in January 2025 has generated positive expectations among investors regarding Bitcoin’s future. Consequently, holding BTC in company treasuries may become increasingly common.
Metaplanet’s ongoing success in expanding its Bitcoin portfolio may strengthen the company, enhancing the investment appeal of its shares.