Metaplanet Shares Surge 15% Following $11.3M Bitcoin Acquisition

Japanese investment firm Metaplanet Inc. saw its shares rise by 15.1% on Tuesday following its latest Bitcoin purchase.

In a filing, the Tokyo-listed company revealed that it has acquired an additional 124.1 BTC at an average price of approximately 14.1 million yen ($91,266) per coin for a total of $11.3 million.

The latest purchase increases the firm’s total holdings to 1,142.2 BTC, valued at $104.8 million.

Metaplanet’s Stock Surge 1,300 YTD

Metaplanet’s stock closed at 2,295 yen, with daily turnover reaching 21.9 billion yen ($141.7 million), according to data from Futu.

The company’s stock has surged 1,334% year-to-date, outperforming market benchmarks such as the Nikkei 225 index, which gained 0.5% on the same day.

Simon Gerovich, Metaplanet’s CEO, noted on X that the company ranked 29th among 4,000 Japanese firms by trading value, surpassing major players like Itochu and NTT.

Metaplanet ranked #29 out of 4,000 listed companies in Japan by trading value, surpassing much larger market peers such as Itochu and NTT https://t.co/mUgdytMRM6 pic.twitter.com/Xzf66g9o1r

— Simon Gerovich (@gerovich) November 19, 2024

The firm’s aggressive Bitcoin acquisition aligns with its May strategy to adopt the cryptocurrency as a treasury reserve asset.

From October 1 to November 19, Metaplanet reported a BTC yield of 186.9%.

On Monday, the company announced the issuance of one-year ordinary bonds worth 1.75 billion yen ($11.3 million) to fund further Bitcoin purchases, with a redemption date set for November 2025.

Wall Street institutions have also been increasing their stakes in MicroStrategy amidst rising interest in Bitcoin holdings.

The ongoing macroeconomic uncertainties, characterized by increasing inflationary pressures and geopolitical tensions, have prompted corporate treasurers to explore the inclusion of Bitcoin as a reserve asset.

Just recently, digital asset prime services platform Abra launched a service designed for corporates seeking to hold cryptocurrencies as reserve assets on their balance sheets.

MicroStrategy’s Share Hit Record High

MicroStrategy (MSTR) shares surged 13% on Monday, reaching a record closing high after the company revealed it had acquired $4.6 billion worth of Bitcoin.

The firm also announced plans to raise an additional $1.75 billion through convertible notes to increase its cryptocurrency holdings.

The company’s stock performance has been remarkable, with over a 500% surge in 2024, far outpacing major stocks like Microsoft, which gained just 11% this year.

As of now, MicroStrategy holds 331,200 BTC, purchased at an average price of $88,627.

The current value of its Bitcoin stash places the company in a strong position, boasting an estimated $13.7 billion in unrealized profits.

To fund its Bitcoin acquisitions, MicroStrategy plans to issue senior convertible notes with a 0% interest rate, maturing in December 2029.

These notes offer investors the option to convert debt into equity, a strategy the company has employed in previous fundraises, such as an $875 million issuance in September 2024 and another in June.

Last week, Pennsylvania State Representative Mike Cabell also introduced a bill in the state’s House of Representatives that would allow up to 10 percent of the state’s funds to be comprised of Bitcoin.

The legislation, titled the Strategic Bitcoin Reserve bill, would grant the state treasurer permission to invest a part of the state General Fund, the State Investment Fund, and the Rainy Day Fund in Bitcoin.