Metaplanet, a Japanese investment firm, recently announced its raise of approximately $11.3 million to fund its Bitcoin purchases. This move is part of the company’s “Bitcoin-first” approach, which aims to hedge against economic pressures in Japan.
Metaplanet to Purchase More Bitcoins
The announcement clarified that Metaplanet’s raised funds were solely from its third series of ordinary bond issuance. The bonds offer an annual interest rate of 0.36% and will mature on November 17, 2025. Simon Gerovich, Metaplanet’s Representative Director and President, guarantees the bonds, securing the principal and interest.
This bond issuance enables Metaplanet to raise capital for Bitcoin investments while providing a secured return. Interestingly, it complies with Companies Act regulations, eliminating the need for a bond administrator. Metaplanet will handle principal and interest payments directly.
Meanwhile, this is not the first time Metaplanet leveraged the bond market to expand its Bitcoin holdings. In June, the company allocated $6.26 million worth of bonds for the same purpose. Those bonds, carrying an annual interest rate of 0.5%, were reported as aiding the firm’s “long-term holding” of Bitcoin.
By utilizing bond sales, loans, put options, and other market instruments, Metaplanet continues to expand its Bitcoin reserves, joining the ranks of companies like MicroStrategy, which have also invested heavily in Bitcoin. This approach allows Metaplanet to raise capital while cementing its position in the crypto industry. The firm now holds 1018.17 BTC.
Metaplanet Incentivizes Investors
The bond issuance announcement comes moments after the company publicized its Shareholder Benefits Program to express appreciation for its investors’ continued support. The firm claims to offer exclusive perks, including a Bitcoin lottery, discounts on Bitcoin conference tickets, and purchases from the Bitcoin Magazine store.
Eligible investors will receive notification of their shareholder numbers in early February 2025, enabling them to redeem these benefits. The Asian MicroStrategy believes the program will strengthen shareholder engagement and deepen their understanding of Metaplanet’s mission. Moreover, it claims that the program aligns with its commitment to the “Bitcoin ecosystem.”
Interestingly, Metaplanet’s stock increased 7% after the latest announcement. Additionally, it has shown massive growth since the company first announced its Bitcoin investment strategy, with an over 950% surge and currently at about 566%.
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