Metaplanet, a Tokyo-listed firm, has announced a debt sale to boost its bitcoin (BTC) stash, following the lead of U.S.-listed business intelligence firm MicroStrategy.
According to the announcement, Metaplanet will issue one-year ordinary bonds with a guarantee totaling 1.75 billion yen ($11.3 million) for an annual interest rate of 0.36%. The funds raised will be used entirely to snap up BTC.
This move is not surprising, given the current market trends and the growing interest in bitcoin among institutional investors. As Omkar Godbole, Co-Managing Editor on CoinDesk’s Markets team, notes, “Metaplanet started buying BTC in April this year as a hedge against Japan’s debt issues and volatility in the yen. Since then, it has accumulated 1,018 BTC worth $92.33 million, according to data source Bitcoin Treasuries.”
Metaplanet’s decision to issue debt to finance its BTC purchases is a clear indication of its commitment to investing in bitcoin. This move is likely to be seen as a positive development for the bitcoin market, as it demonstrates the growing interest in bitcoin among institutional investors.
It is worth noting that Metaplanet’s BTC balance is still a far cry from MicroStrategy’s stash of 279,420 BTC. However, this announcement is a clear indication that Metaplanet is serious about its investment in bitcoin and is willing to take steps to increase its holdings.
Predictions:
Based on this announcement, it is likely that we will see more institutional investors following in Metaplanet’s footsteps and investing in bitcoin. This could lead to increased demand for bitcoin and potentially drive up the price.
Additionally, this move could also lead to increased adoption of bitcoin in Japan, as more companies and investors become interested in investing in the cryptocurrency.
It will be interesting to see how this development plays out in the coming months and how it affects the bitcoin market.
