Metaplanet Expands Bitcoin Ownership With Purchase Worth IDR 38 Billion

Metaplanets multiply Bitcoin ownership with purchases of IDR 38 billion (Photo; Doc. 0xzx)

JAKARTA - A Japanese investment company, Metaplanet, has just increased its Bitcoin ownership with a purchase of 400 million Yen (2.4 million US Dollars or Rp38 billion) or equivalent to 42.4 Bitcoins. With this latest purchase, Metaplanets now hold a total of 203.7 BTC, which is purchased at an average price of around 62,000 US Dollars (around Rp1 million) per BTC.

In a press release published on July 8, Tokyo-based Metaplanet announced its Bitcoin strategic acquisition. The move aims to improve the company's long-term financial strategy by making crypto a strategic treasury reserve asset. This latest purchase adds total Bitcoin ownership of the Metaplanet to more than 203 BTC.

According to Crypto Potato information, Metaplanet's decision to invest in Bitcoin was influenced by continued economic pressure in Japan, including high levels of government debt, a long period of negative real interest rates, and the value of the yen that continued to weaken. Yen recently hit its lowest value against the US dollar since 1986 and reached its weakest level to the euro in historical records.

At the same time, survey data by Nomura showed that more than 500 investment managers in Japan are actively considering placing their funds into crypto. In addition, half of respondents are open to using stablecoins for daily settlements and transactions.

To fund its Bitcoin acquisition, Metaplanet recently issued a series of two ordinary bonds through EVO FUND, raising more than 6.2 million US Dollars (approximately IDR 100 billion). These bonds carry an annual interest rate of 0.5% and will mature on June 25, 2025. Although the bonds do not have collateral, the Metaplanet has secured them with the first priority mortgage on the land and building of the Royal Oak Goanda Hotel owned by its subsidiary, Wen Tokyo Inc.

After the Tokyo Stock Exchange closed on Monday, July 1, the Metaplanet announced an additional acquisition of 20.195 BTC for 200 million Yen (about 1.2 million US Dollars equivalent to Rp19 billion). This follows the previous purchase of 250 million Yen from crypto in June.

Despite its relatively small size, which is 97 million US Dollars (approximately IDR 1.5 trillion), the Metaplanet's move is in line with the growing trend among companies to include Bitcoin as a strategic asset in their balance sheet.

This trend includes big companies like MicroStrategy, which currently hold 226,331 BTC worth 14.1 billion US Dollars (approximately IDR 227 trillion) as of July 2024. The company continues to increase its Bitcoin holdings, acquiring 11,931 BTC for 786 million US Dollars (approximately IDR 12 trillion) between April and June.