2024

Bitcoin ETF

April

Infinite

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  <figure class="aligncenter size-full"><img decoding="async" width="640" height="427" src="https://cdn.thebittimes.com/images/2024/05/23/86e27ddbc266e800c6ef2ac07257fae7.webp" alt="Japanese Investment Firm Metaplanet Adopts Bitcoin, Stocks Now Skyrocket" class="wp-image-45619" srcset="https://cdn.thebittimes.com/images/2024/05/23/68a8cc99d7e89cdeb51935cf77833c73.webp 750w, https://cdn.thebittimes.com/images/2024/05/23/68a8cc99d7e89cdeb51935cf77833c73.webp 300w" sizes="(max-width: 640px) 100vw, 640px" data-recalc-dims="1">
   <figcaption class="wp-element-caption"><sub>Image Source: <em>Metaplanet</em></sub>
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 <p class=""><strong><em>Metaplanet</em>, a Japan-based investment firm, has experienced an extraordinary surge in its stock price, positioning it as the highest gainer among Japanese stocks.</strong> This dramatic rise can be attributed to its adoption of a <em>Bitcoin</em> investment strategy, mirroring the approach of the American company, <em>MicroStrategy</em>.</p>
 <h3 class="wp-block-heading" id="unprecedented-stock-surge">Unprecedented Stock Surge</h3>
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    <p lang="en" dir="ltr">NEW: Since adding #Bitcoin to their balance sheet, Metaplanet has become the best-performing stock in Japan this week, being halted at a maximum daily gain of +50%for two days in a row. pic.twitter.com/PXVGQKYwbN</p>— Bitcoin News (@BitcoinNewsCom) May 22, 2024
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 <p class="">Over the past week, Metaplanet’s shares have skyrocketed by 158%, with a notable 127% increase in the last two days alone. The <em>Tokyo Stock Exchange (TSE)</em> had to halt trading twice due to the rapid price escalation, invoking circuit breaker rules. This impressive rise has brought Metaplanet’s market cap close to the $1 billion mark, currently valued at approximately 14.8 billion Japanese yen ($940 million).</p>
 <h3 class="wp-block-heading" id="strategic-bitcoin-investments">Strategic Bitcoin Investments</h3>
 <p class="">Metaplanet’s significant growth can be traced back to its announcement on April 8 to adopt Bitcoin as a core treasury asset. The company has since accumulated 117.7 Bitcoin, worth about $7.2 million, leading to a 389% increase in its stock value. <em>Dylan LeClair</em>, <em>Metaplanet’s</em> <em>Director of Bitcoin Strategy</em>, emphasised that this move is a hedge against Japan’s economic challenges, including high government debt levels and a weakening yen.</p>
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    <p lang="en" dir="ltr">Metaplanet has been halted at a max daily gain of +¥30 (+50%), and for the second day in a row, is the best performing stock in Japan. #TSE3350 $BTC pic.twitter.com/Y9F8IAsyyR</p>— Dylan LeClair (@DylanLeClair_) May 22, 2024
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 <h3 class="wp-block-heading" id="economic-pressures-and-currency-depreciation">Economic Pressures and Currency Depreciation</h3>
 <p class="">Japan’s economic landscape has played a crucial role in Metaplanet’s strategic pivot to Bitcoin. The nation’s debt-to-GDP ratio stands at 261%, the highest among developed countries, while the yen has depreciated by over 34% against the US dollar since 2021. In contrast, Bitcoin has surged nearly 190% against the yen in the past year, making it an attractive hedge against the depreciating currency.</p>
 <h3 class="wp-block-heading" id="inspired-by-microstrategy">Inspired by MicroStrategy</h3>
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    <p lang="en" dir="ltr">*Strategic Treasury Transformation and Bitcoin Adoption by Metaplanet* pic.twitter.com/Uz5RxkBV2D</p>— Metaplanet Inc. (@Metaplanet_JP) May 13, 2024
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 <p class="">Metaplanet’s strategy closely mirrors that of MicroStrategy, the largest corporate holder of Bitcoin. Like MicroStrategy, Metaplanet aims to leverage various capital market instruments to increase its Bitcoin reserves. This approach has transformed Metaplanet into a de facto Bitcoin ETF for Japanese investors, allowing them to gain exposure to Bitcoin without direct investment in the cryptocurrency.</p>
 <h3 class="wp-block-heading" id="market-reactions-and-future-plans">Market Reactions and Future Plans</h3>
 <p class="">The market’s response to Metaplanet’s Bitcoin strategy has been overwhelmingly positive. The stock’s explosive growth reflects investor confidence in the company’s approach. <em>Arnab Naskar</em>, <em>Co-Founder and Co-CEO</em> of <em>STOKR</em> has expressed interest in tokenising Metaplanet shares on the Bitcoin layer-2 network Liquid, which could broaden access for global investors.</p>
 <h3 class="wp-block-heading" id="bitcoin-s-performance-against-the-yen">Bitcoin’s Performance Against the Yen</h3>
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    <p lang="en" dir="ltr">Infinite dollars.<br>Unlimited yen.<br>Repressed bonds.<br>21,000,000 #bitcoin.</p>— Metaplanet Inc. (@Metaplanet_JP) May 17, 2024
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 <p class="">Bitcoin’s performance against the Japanese yen has been stellar, rising 193% over the past year and reaching a new all-time high. On May 21, Bitcoin traded at around $71,650, highlighting its potential as a robust store of value amid currency depreciation. This performance underscores the rationale behind Metaplanet’s strategic shift towards Bitcoin.</p>
 <h3 class="wp-block-heading" id="conclusion">Conclusion</h3>
 <p class="">Metaplanet’s remarkable stock surge and strategic pivot to Bitcoin underscore its response to Japan’s economic challenges and the yen’s depreciation. By adopting a Bitcoin-centric investment strategy, Metaplanet has positioned itself as a leading player in the Japanese market, drawing parallels with MicroStrategy’s successful model. As the company continues exploring innovative ways to increase its Bitcoin holdings, its future looks promising for investors and the broader market.</p>
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/japanese-investment-firm-metaplanet-adopts-bitcoin-stocks-now-skyrocket-tbt89459.html">https://thebittimes.com/japanese-investment-firm-metaplanet-adopts-bitcoin-stocks-now-skyrocket-tbt89459.html</a></p>

Japanese Investment Firm Metaplanet Adopts Bitcoin, Stocks Now Skyrocket

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