Subscribe for notification
Crypto

Metaplanet Uses Bond Funds to Buy $6.3M Bitcoin

Metaplanet, a Japanese investment firm, announced Monday that it will acquire Bitcoin for 1 billion yen ($6.3m). The company announced in a statement that the funds for its acquisition will be sourced from a recent bond sale.

Metaplanet referred to as “Asia’s MicroStrategy,” has announced that its Bitcoin holdings intended for long-term storage will be recorded at their acquisition cost. These are exempt from taxation as a result of end-of-term market value assessments.

Additionally, it stated that the market prices of other Bitcoin holdings will be assessed every quarter. Any gains or losses from these evaluations will be documented under non-operating income or expenses.

Metaplanet Designates Bitcoin as a Core Asset and Pursues a Long-Term Hold

According to the organization, its foremost objective is to preserve Bitcoin for an extended period. However, the equivalent balance will be classified as current assets on the balance sheet if utilized for operations or other purposes.

Metaplanet had acquired three distinct Bitcoins in seven weeks before this most recent acquisition. The organization’s most recent acquisition was 23.25 Bitcoin, valued at approximately $1.59 million.

This resulted in a total increase in its Bitcoin holdings to 141.07 BTC. With Monday’s acquisition, its total holdings would rise to just over 240 BTC ($15m).

Japan’s Debt Woes Drive Metaplanet to Bitcoin

It is important to note that Metaplanet’s decision to invest in Bitcoin is a precaution against the yen’s declining value and the increasing debt burden in Japan. Its persistent negative interest rates and substantial government debt indicate Japan’s fiscal difficulties.

On Monday, the company’s stock price experienced a nearly 14% increase. This represents a 37% increase from the previous month. The corporation is currently the 30th largest corporate Bitcoin holder globally, per Bitcoin Treasuries, due to its recent acquisitions.

Metaplanet’s Bitcoin possessions are modest compared to MicroStrategy’s 226,331 BTC balance. However, its dedication to integrating Bitcoin into its treasury assets has garnered significant attention.

King David

David is a writer and digital marketer with a History degree. Formerly a Shill Angel at Aex Global Exchange. Currently thriving as a Cloud and AI Engineer, David is also passionate about Blockchain and Web3 technologies. Through his writing, he seeks to educate and inspire, sharing insights on the intersection of AI, Web3, and Blockchain Technology.

Disqus Comments Loading...

Recent Posts

Hackers Breach Tate’s Online ‘University,’ Steal Data

Hackers have infiltrated an online course that was established by Andrew Tate, a self-described misogynist and purported influencer The compromise…

3 hours ago

Apple Builds Conversational Siri with LLMs

Apple is reportedly working on an enhanced version of Siri, incorporating large language models (LLMs) to create a more conversational…

4 hours ago

YouTube Shorts Unveils AI Video Backgrounds

Thursday was the day that YouTube announced that its Dream Screen feature for Shorts now allows users to construct movie…

4 hours ago

Marissa Mayer Pitches Ad-backed AI Chatbot Model

Marissa Mayer proposes a business model for AI chatbots funded by advertising, highlighting potential opportunities for monetization Marissa Mayer possesses…

4 hours ago

Palo Alto Networks Warns of Firewall Breaches

By exploiting two new zero-day vulnerabilities discovered in widely used software developed by cybersecurity behemoth Palo Alto Networks, malicious hackers…

4 hours ago

Wiz Buys Dazz for $450M

Wiz, a cybersecurity company that has garnered significant attention, is acquiring a substantial amount of cloud security technology in order…

4 hours ago