Metaplanet, an early-stage investment company based in Japan, is continuing its Bitcoin (BTC) buying spree. The company name today that they have purchased 619.7 BTC for $61 million – including taxes and other costs – making it the company's largest Bitcoin acquisition to date.
Metaplanet increases BTC holdings to 1,762
The recent decline in the crypto market from all-time highs (ATH) does not seem to bother Metaplanet, as the Tokyo-listed company made the most BTC purchases most to date, buying 619.7 BTC worth $61 million at an average price of around $96,000.
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To recall, Metaplanet started buying BTC earlier this year in May with a purchase of 97.9 BTC. Since then, the company has bought BTC every month, blocking September, and across the 1,000 BTC milestone in November. The latest acquisition has pushed Metaplanet's total Bitcoin holdings to 1,762, purchased at an average price of $75,600 per BTC.
Notably, this $61 million purchase is nearly double the value of Metaplanet's previous largest acquisition, which took place in November and was worth nearly $30 million. The company's steady BTC rally has earned it the nickname “Asia's MicroStrategy,” in reference to the US-based business intelligence firm known for its aggressive Bitcoin buying strategy.
It's worth noting that today's BTC purchase comes a week after Metaplanet raised $60.6 million through two tranches of bond issuance for the purpose of “accelerating BTC purchases.” Metaplanet's latest purchase also makes its BTC reserve the 12th largest among publicly listed companies worldwide.
According to Metaplanet's official announcement, its BTC Yield – a proprietary metric used to measure the performance of its Bitcoin acquisition strategy – stood at 310% between October 1st and December 23rd. “
Despite today's heavy BTC buying, there was little movement in Metaplanet's stock price, closing at $22.5, down 0.98% for the day. However, on a year-to-date basis, the company's stock has risen by an incredible 1,982%, demonstrating the long-term benefits of its Bitcoin-centric strategy.
Bitcoin Supply Decline to Accelerate Acceptance?
With Bitcoin's maximum supply capped at 21 million, the digital asset has cemented its reputation as an inflation-resistant store of value. Recently report indicates that the supply of BTC on crypto exchanges has hit multi-year lows, indicating that custodians are increasingly withdrawing BTC from exchanges, reducing circulating supply and could drive prices higher.
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The scarcity of Bitcoin has sparked an unofficial race among corporations – and perhaps even governments. For example, Bitcoin mining company Hut 8 recently bought 990 BTC for $100 million, increasing his total holdings to over 10,000 BTC. Similarly, MARA, another Bitcoin mining company, received 703 BTC earlier this month, bringing his total holdings to 34,794 BTC.
Speculation surrounding a potential strategic Bitcoin reserve for the US continues strengthen BTC supply crisis statement, which could be adopted quickly. At press time, BTC is trading at $94,003, down 1.5% in the last 24 hours.
Featured image from Unsplash, charts from Yahoo! Finance and Tradingview.com
