Buying Bitcoin for Metaplanet as shares jump over 800%

The Japanese investment company Metaplanet has been on an aggressive buying spree of Bitcoin. Earlier this week, he announced the addition of 21.877 BTC to his storage, bringing his total holdings to 225.611 BTC.

At current prices, the Tokyo-listed company now holds $14.8 million worth of Bitcoins. This investment strategy has seen Metaplanet's shares rise dramatically this year, with a spike in May after the company announced it was using bitcoin.

Metaplanet's Bitcoin Strategy Pays Off

Following a series of discoveries, Metaplanet has It has strengthened its position as the 21st largest corporate BTC owner in the world CoinGecko.

The market's reaction to this news seems overwhelmingly positive. According to data compiled by Google Finance, Metaplanet shares – traded at a ticker of 3550 on the Tokyo Stock Exchange – have risen 60% to ¥145 in the past five days. In the past 24 hours alone, the shares have rallied nearly 16 percent, bringing year-to-date gains to more than 800 percent.

The company first announced that it would hold Bitcoin as a strategic treasury asset in May of this year.

Despite this, data from Bitcointreasuries.net shows that Metaplanet's first Bitcoin was acquired on April 23rd when it bought 97.85 BTC. Subsequent purchases were 19.87 BTC on May 10, 23.351 BTC on June 11, 20.195 BTC on July 1, 42.46 BTC on July 8 and the most recent purchase of 21.877 BTC on July 16.

Metaplanet's Ambitious Bitcoin Pivot

The Metaplanet strategy is reminiscent of MicroStrategy's Bitcoin hoarding methods.

Dubbed “Asia MicroStrategy,” the firm often follows the same investment strategies as the American business intelligence firm. Metaplanet's approach to covering bitcoin purchases with bond sales has highlighted the growing adoption of institutional BTC.

It's important to note that Japan's ongoing economic issues, including government debt, the persistence of negative real interest rates and a persistently weak yen, influenced Metaplanet's move to invest in Bitcoin.

The company has previously stated that it views its crypto assets as “fundamentally superior” to any form of political currency, traditional value and investment stores and other crypto assets/securities.

“Bitcoin is an extremely limited digital synthetic currency commodity with no central issuer. Bitcoin's monetary policy is set in stone until 2140, which differentiates it from both monetary metals and competing crypto projects driven by the interests of centralized developer groups.” There will only ever be 21,000,000 Bitcoins.