Metaplanet Makes Largest BTC Purchase to Date Despite Bitcoin Price Correction

After a 9.8% drop in the value of Bitcoin over the past week, investors are showing signs of caution, worried about the possibility of further declines. Despite this, Japan-based Metaplanet has reaffirmed its confidence by purchasing almost 620 BTC.

Interestingly, the latest acquisition marks its largest Bitcoin purchase to date.

Metaplanet’s largest BTC acquisition

According to the company official. Press releaseThe acquisition, executed as part of its Bitcoin Treasury Operations, involved the purchase of 619.7 BTC, worth around $60.6 million. This latest transaction brings Metaplanet’s total Bitcoin holdings to 1,761.98 BTC, valued at nearly $168 million.

Over the past six months, Metaplanet has leveraged multiple capital market activities, including equity rights issues and zero-coupon bonds, to fund its Bitcoin purchases.

Most recently, the company raised 5 billion yen, valued at $31.9 million, through its fifth series of ordinary bonds on December 20, 2024. Before that, the Tokyo-based investment firm also announced a separate sum of 4.5 billion yen, valued at $28.7 million. , bond issue that will mature on June 16, 2025.

The company reported a staggering increase in BTC performance of almost 310% between October 1 and December 23, 2024, demonstrating the significant growth of Bitcoin holdings relative to its fully diluted shares outstanding. Metaplanet appears to have firmly positioned itself as a key player in a corporate investment in Bitcoin, even as overall market sentiment remains bearish.

Bitcoin Boost

Metaplanet, often referred to as “Asia’s MicroStrategy”, began accumulating BTC in May, mirroring the US company’s Bitcoin-focused strategy. The company recently revealed which expects to make its first operating profit in seven years, thanks to its April decision to use Bitcoin as a treasury asset.

For fiscal 2024, it forecasts revenue to rise to 890 million yen, worth about $5.8 million, from 261 million yen, and predicts an operating profit of 270 million yen. This marked a significant turnaround after years of losses. A key factor has been its innovative use of Bitcoin put options, which generated 520 million yen. The firm also benefited from strong performance at its Royal Oak Hotel in Tokyo.