PUBLIC COMPANY FULLY COMMITS TO BITCOIN, ECHOING MICROSTRATEGY 

Metaplanet, a company listed on the Tokyo Stock Exchange, has recently made a significant investment in Bitcoin, allocating 1 billion JPY ($6.5 million USD) towards the cryptocurrency as its primary treasury reserve asset. This move mirrors the strategy pioneered by Michael Saylor and MicroStrategy, marking another instance of a public company integrating Bitcoin into its corporate treasury.

Metaplanet’s Embrace of Bitcoin

In an official announcement via Twitter, Metaplanet disclosed its decision to adopt Bitcoin as its central treasury asset, indicating a shift towards digital assets and a commitment to fostering innovation within the financial sector. The company’s efforts are aimed at connecting Japan with global markets in both traditional and blockchain-based internet realms, including the development and integration of Web3 technologies.

Metaplanet offers a range of services, from investment and real estate to distribution, with a focus on expanding the reach of quality Japanese products globally. Its venture into Bitcoin has garnered support from notable entities such as Sora Ventures, UTXO Management, and Morgan Creek Capital co-founder Mark Yusko, who predicts Bitcoin could hit $150,000 within the year.

Metaplanet describes its pivot to Bitcoin as a key step towards leading in the digital finance space and establishing itself as a frontrunner in Japan’s digital asset adoption.

Comparing Metaplanet and MicroStrategy

While Metaplanet’s market capitalization stands at 2.18 billion JPY, making it significantly smaller than MicroStrategy, it joins the latter as a company leveraging Bitcoin within its treasury assets. MicroStrategy, which has shifted its focus towards Bitcoin accumulation, holds more than 1% of the total Bitcoin supply, equivalent to 214,245 BTC ($15.39 billion).

MicroStrategy has utilized various financial mechanisms, including convertible note offerings, debt issuance, and stock dilution, to increase its Bitcoin holdings, effectively acting as a leveraged Bitcoin ETF for investors. This strategy has seen MicroStrategy’s stock (MSTR) appreciate by 120% year to date, outpacing Bitcoin’s own growth. However, some analysts argue that the premium on its Bitcoin holdings is unsustainable and predict a future correction.

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