Metaplanet Issues $210 Million Bonds to Buy 1,088 Bitcoin

Metaplanet, a prominent Japanese company often referred to as Japan’s ‘Strategy,’ has issued $210 million in zero-interest bonds to acquire additional Bitcoin. This move follows a decision by its board of directors to issue the 18th series of ordinary bonds to Evo Fund, with a maturity date set for December 12, 2025, and an option for early redemption. The funds raised from this bond issuance are earmarked for the purchase of Bitcoin, as stated by the company.

Metaplanet’s CEO, Simon Gerovich, emphasized the company’s commitment to Bitcoin by posting on X, “All Bitcoin.” This statement underscores the company’s strategic shift towards Bitcoin as a key asset in its treasury management. The bonds were exclusively subscribed by the Cayman Islands-based investment firm, Evo Fund.

Following this latest bond issuance, Metaplanet’s total Bitcoin holdings have increased to 8,888 BTC, with an additional 1,088 Bitcoin added to its reserves. This significant accumulation of Bitcoin reflects Metaplanet’s long-term strategy of leveraging the cryptocurrency’s potential for appreciation, especially in the face of economic challenges such as high debt levels and yen depreciation in Japan.

Metaplanet’s strategy of investing in Bitcoin has garnered attention, particularly as it has become Japan’s most shorted stock by hedge funds. The company’s stock has surged over the past year, reflecting investor confidence in its Bitcoin investment strategy. This move aligns with the broader trend of corporate treasuries allocating more funds to Bitcoin, as highlighted by Seamus Rocca, CEO at Xapo Bank. Rocca noted that while the increase in corporate Bitcoin allocations is significant, it should be approached with discipline and a long-term framework, focusing on the asset itself and avoiding speculative trading.

Metaplanet’s decision to issue bonds for Bitcoin acquisition comes at a time when Japan is facing economic challenges, including high debt levels and yen depreciation. The company’s strategy underscores its commitment to leveraging Bitcoin’s potential for long-term appreciation, despite the economic uncertainties. This move is part of a broader trend among corporations to diversify their treasury holdings with Bitcoin, reflecting a growing recognition of the cryptocurrency’s value as a store of wealth.