Metaplanet Secures $66 Million in New Funding to Fuel Bitcoin Investments

Japan-based Investment company Metaplanet Inc. has raised around 10 billion yen, worth about $66 million, through a stock acquisition rights exercise.

This fundraising comes as the Tokyo Stock Exchange-listed continues its Bitcoin strategy, with multiple BTC purchases over the past months.

Metaplanet said this event marked its 11th planned stock acquisition proper exercise.

Metaplanet Raises 10 Billion Yen to Fuel Ambitions as a Leading Bitcoin Treasury Firm

In a recent filing, Metaplanet disclosed that it raised $66 million (10 billion yuan) in its 11th stock acquisition. A total of 13,774 individual shareholders participated. The plan allowed shareholders to buy shares at a discounted rate.

Metaplanet started its stock acquisition rights period on September 6 and concluded on October 15. According to the filing, the firm raised 10 billion yen during this period.

Furthermore, Metaplanet's CEO, Simon Gerovich, expressed his gratitude to the shareholders. On Tuesday, he posted a message on X, thanking them for their support. He said their contributions helped strengthen Metaplanet's mission of becoming a leading Bitcoin treasury company.

Metaplanet Inc. has concluded the exercise period for its 11th Stock Acquisition Rights, achieving a 72.8% exercise rate with participation from 13,774 individual shareholders. The Company has also approved the transfer of unexercised rights to EVO FUND, which has committed to... https://t.co/bSnKwMfCjK

- Simon Gerovich (@gerovich) October 22, 2024

Metaplanet did not specify how it plans to use the new funds. However, in recent months, the firm has been buying a lot of Bitcoins after adopting the cryptocurrency as its main treasury reserve asset in May.

Earlier this month, Metaplanet purchased 106.976 bitcoins, worth about 1 billion yen or $6.6 million. This brought the company's total Bitcoin holdings to 855.478 BTC. At the current market price, this quantity of BTC is worth around $57.4 million.

Metaplanet's focus on Bitcoin shows its commitment to using digital assets for its long-term strategy.

Metaplanet Adjusts Bitcoin Strategy as Stock Soars Amid Market Challenges

Last week, Metaplanet rolled up its Bitcoin put options, which it had announced earlier on October 3. This means the firm adjusted the terms of its possibilities, changing the strike price from $62,000 to $66,000.

A strike price is the set price at which a trader can sell Bitcoin under the option. Rolling up the put options suggests that Metaplanet is confident about Bitcoin's future value.

The firm remains optimistic about Bitcoin's outlook. Part of its strategy is to profit from the asset's potential growth.

On Wednesday, Metaplanet's stock price dropped by 6.75%, closing at 1,110 yen in Japan. Despite this drop, the stock has performed well recently, increasing by 6.53% over the past month.

Also, the stock has increased by 593.75% since the start of the year, showing strong growth over time.

Meanwhile, the Nikkei 225 index, which tracks major Japanese stocks, fell by 0.8% on the same day. This suggests that the overall market was also facing some challenges.

Metaplanet's Bitcoin strategy was inspired by the American business intelligence and mobile software services firm MicroStrategy. According toBitcoin Treasuries data, Microstrategy is the largest corporate holder of Bitcoin, with a total of 252,220 BTC.

Marathon Digital is next in line, holding a total of 26,842 BTC. These companies have invested heavily in Bitcoin, showing their strong belief in its future.

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