Metaplanet Issues $11.3M in Bonds for Bitcoin Purchase Strategy

TLDR

• Metaplanet to issue $11.3M in bonds to purchase more Bitcoin
• Company currently holds 1,018 BTC on its balance sheet
• Bonds will mature in November 2025 with 0.36% annual interest
• Metaplanet stock up 950% since starting Bitcoin acquisitions in April
• Company follows “Bitcoin-first, Bitcoin-only” strategy similar to MicroStrategy

Japanese investment firm Metaplanet has announced plans to issue bonds worth 1.75 billion yen ($11.3 million) to purchase more Bitcoin for its corporate treasury.

The Tokyo-listed company made the announcement on November 18, following approval from its Board of Directors.

The bonds will carry a maturity period of one year, set to expire on November 17, 2025. Investors who purchase these bonds will receive an interest rate of 0.36% per year. The company has stated that all proceeds from the bond sale will be used exclusively for Bitcoin purchases.

Metaplanet currently holds 1,018 Bitcoin on its balance sheet, built through several strategic purchases throughout 2024. The company began its Bitcoin acquisition strategy in April, adopting what it calls a “Bitcoin-first, Bitcoin-only” approach to treasury management.

The Japanese firm’s strategy mirrors that of MicroStrategy, a U.S.-based business intelligence company known for its large Bitcoin holdings.

This similarity has earned Metaplanet the nickname “Asia’s MicroStrategy” in financial circles. The announcement comes just one week after MicroStrategy announced its own purchase of 27,200 Bitcoin, worth about $2.03 billion at current market prices.

Since beginning its Bitcoin strategy in April, Metaplanet has made several notable purchases. In June, the company acquired 20.195 Bitcoin, valued at approximately $1.2 million at the time. This was followed by a September purchase of 38.464 Bitcoin, worth about $2 million.

The company’s most recent acquisition came in October when it bought 156.78 Bitcoin. This purchase pushed Metaplanet’s total holdings above the 1,000 Bitcoin mark, establishing it as a major corporate holder of the digital currency.

The market response to Metaplanet’s bond announcement has been relatively muted, with the company’s share price showing only a modest increase of 0.81% on Monday. However, the longer-term impact of the company’s Bitcoin strategy has been remarkable.

Metaplanet on Yahoo! Finance

When Metaplanet first announced its Bitcoin acquisition plans in April 2024, its shares traded at 190 yen ($1.23). As of the latest trading session, the stock price has reached 1,994 yen ($12.86), representing an increase of nearly 950% in just over seven months.

The timing of Metaplanet’s announcement coincides with broader market movements in the Bitcoin ecosystem. Recent data shows that Bitcoin reserves on cryptocurrency exchanges have dropped to a five-year low, suggesting more investors are moving their holdings into long-term storage.

The company’s bond issuance represents a structured approach to acquiring Bitcoin, using debt financing rather than direct cash purchases. This strategy allows Metaplanet to expand its Bitcoin holdings while maintaining its existing cash reserves for operational needs.

The one-year maturity period of the bonds aligns with Metaplanet’s long-term vision for Bitcoin as a treasury reserve asset. The relatively low interest rate of 0.36% reflects the current Japanese monetary environment, where interest rates remain among the lowest globally.

For the Japanese market, Metaplanet’s move represents one of the largest corporate commitments to Bitcoin to date. The company’s approach has drawn attention from both traditional finance sectors and the cryptocurrency industry.

The bond issuance process is expected to follow standard Japanese financial regulations, with the company working with authorized financial institutions to handle the sale and distribution of the bonds.

Metaplanet’s growing Bitcoin position comes at a time when Bitcoin trades at $90,909, maintaining steady price levels in recent trading sessions. The company has not announced a specific timeline for when it plans to execute the Bitcoin purchases using the bond proceeds.

The latest move by Metaplanet adds to the growing trend of corporate Bitcoin adoption, particularly among publicly traded companies seeking to diversify their treasury strategies.