- Metaplanet has doubled down on its Bitcoin strategy.
- The company is preparing to acquire additional BTC worth tens of millions.
- The acquisition will be funded with a multi-billion Gratis Allotment of Stock Acquisition.
Japanese investment and consulting firm Metaplanet is preparing to acquire additional Bitcoin worth tens of millions, underscoring the crypto asset’s growing institutional interest despite recent market turmoil.
The planned acquisition aligns with Metaplanet’s pivot in March toward a “ Bitcoin-first, Bitcoin-only approach ,” which culminated in the purchase of $6.2 million worth of the crypto asset. The company currently holds 245.992 BTC, bought at an average price of $63,636.
New Bitcoin Acquisition Plan
In a notice issued on August 6, Metaplanet said it will use the “majority of the funds” raised from its ¥10.08 billion Gratis Allotment of Stock Acquisition Rights to buy more Bitcoin. This is about $69.6 million.
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Per the notice, Metaplanet expects an increase in Bitcoin prices to strengthen its balance sheet, enhance asset value, and positively contribute to the company’s earnings. The income generation strategy will include selling covered calls of its Bitcoin holdings to earn “premium” profits.
Metaplanet said the revenue generated from this strategy would complement its main revenue sources and enhance its profitability through complimentary business investments. This includes pursuing the licensing of Bitcoin Magazine Japan and transforming its hotel business to “strategically cater to Bitcoin enthusiasts” and businesses.
Bitcoin traded at $56,352 at the time of writing, following a 6.3% gain in the last 24 hours.
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Stay updated on Metaplanet’s latest “strategic” partnership:
Metaplanet Bolsters Bitcoin Initiative with New ‘Strategic’ Partnership
Read about Bitcoin’s dominance following the recent market volatility:
Bitcoin Dominance Hits 174-Week High Amid Market Meltdown
