Metaplanet pushes Bitcoin holdings past 500 BTC with latest buy

Japan’s Metaplanet, originally a budget hotel operator and now an investment firm, has expanded its Bitcoin holdings by adding $6.94 million worth of the cryptocurrency.

In a disclosure made on October 1, Metaplanet reported the acquisition of 107.913 Bitcoin (BTC) for a total investment of ¥1 billion ($6.94 million). This significant purchase increases the company’s total Bitcoin holdings to 506.745 BTC, which are currently valued at approximately $32.45 million.

Metaplanet has invested a total of 4.75 billion yen in Bitcoin since it announced its adoption of the cryptocurrency as a reserve asset, acquiring BTC at an average price of ¥9,373,557 per coin (approximately $65,000).

Headquartered in Tokyo, the company’s decision to boost its Bitcoin reserves is part of a broader strategy to hedge against Japan’s economic difficulties, including the depreciation of the yen.

Since May 2024, Metaplanet has been diversifying its holdings into Bitcoin, drawing comparisons to U.S. firm MicroStrategy, which has implemented similar strategies. This has led to Metaplanet being dubbed “Asia’s MicroStrategy.”

The latest investment follows a $2 million purchase last month, when it acquired 38.4 BTC. In August, the company secured a ¥1 billion loan from its stakeholder, MMXX Ventures, and used it to buy 57.103 BTC for ¥500 million.

Additionally, Metaplanet plans to raise $70 million through stock rights offerings, committing over 80% of that amount to its Bitcoin strategy.

To further solidify its position, Metaplanet has partnered with SBI VC Trade, a subsidiary of Japan’s financial giant SBI Group. This collaboration will enhance compliance and tax efficiency while providing corporate custody services and financing options using Bitcoin as collateral.

Japan’s growing appetite for crypto

Metaplanet’s Bitcoin strategy is in line with the increasing interest from Japanese investment managers, who, according to a June survey, are keen to explore crypto investments.

At the same time, Japanese regulators are contemplating easing crypto regulations to stimulate more investment in the sector. Japan’s Financial Services Agency is reportedly reviewing its current rules, which could result in lower taxes and allow domestic funds to invest in cryptocurrencies.

Earlier this year, the Ministry of Economy, Trade and Industry approved local investment limited partnership firms to engage in cryptocurrency investments as part of former Prime Minister Fumio Kishida’s “new capitalism” policy.