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Qadir AK
Qadir AK
Author
Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.
- Oct 23, 2024 08:14 UTC
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Metaplanet Inc. Doubles Bitcoin Strategy After $67 Million Share Sale
Metaplanet has successfully raised over ¥10 billion through a stock acquisition rights program to double down on its Bitcoin strategy.
The company plans to acquire more Bitcoins to strengthen its balance sheet, aiming to hold more than 1,600 Bitcoins.
Metaplanet's stock has surged over 550% year-to-date, following Metaplanet's Bitcoin strategy.
Metaplanet Inc. (Tokyo: 3350), a traditional web2 company quickly transitioning to web3 technology, has made a significant move to strengthen its Bitcoin (BTC) strategy. Today, the company announced that it raised over ¥10 billion (around $67 million) through a stock acquisition rights program. This funding will help Metaplanet enhance its position in the fast-changing cryptocurrency market.
According to CEO Simon Gerovich, the stock acquisition rights program was fully subscribed, with participation from 13,774 investors. Following this success, Metaplanet plans to buy more Bitcoins to improve its balance sheet.
It seems like Metaplanet is determined to take the leading role in the crypto landscape, leaving all competitors behind.
Expanding Bitcoin Holdings
Currently, Metaplanet holds 861.387 Bitcoins, worth about ¥8 billion, which it has acquired through various initiatives. With the completion of the stock acquisition rights program, the company’s Bitcoin holdings will exceed 1,600, translating to over $100 million in value.
Since adopting its Bitcoin strategy, Metaplanet’s stock has surged over 550 percent year-to-date, trading at around ¥1,110 on Wednesday. The company, now valued at ¥23 billion, aims to follow in the footsteps of MicroStrategy Inc. (NASDAQ: MSTR), which has seen its market capitalization rise to over $40 billion.
Following MicroStrategy’s Moves
As of now, MicroStrategy holds more than 250,000 Bitcoins, accounting for over 1 percent of the total circulating supply. This aggressive accumulation strategy has set a standard for other companies entering the cryptocurrency space.
Bitcoin Price Technical Analysis
Despite strong demand for Bitcoin from major investors, reflected in significant cash inflows into U.S. spot BTC ETFs, the flagship cryptocurrency has struggled to gain bullish momentum like Gold.
From a technical analysis viewpoint, Bitcoin needs to consistently close above the resistance/support level around $69,500 to avoid a potential sell-off below $60,000 in the near term.
Could Metaplanet’s success inspire other companies to follow suit and embrace Bitcoin? Time will tell.
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