Metaplanet Bitcoin Reserves Grow with New $61 Million Purchase – TradingView News

Japan-based early-stage investment firm Metaplanet continues its Bitcoin (BTC) buying spree. The company announced today that it has purchased 619.7 bitcoins for $61 million — including fees and other expenses — making it the company’s largest bitcoin acquisition to date.

Metaplanet increases its Bitcoin holdings to 1,762

The cryptocurrency market’s recent pullback from all-time highs (ATH) doesn’t seem to bother Metaplanet, as the Tokyo-listed company made its largest Bitcoin purchase to date, purchasing 619.7 BTC worth $61 million at an average price of around $96,000. .

As a reminder, Metaplanet started buying BTC earlier this year in May with the purchase of 97.9 BTC. Since then, the company has purchased Bitcoin every month except September, and crossed the 1,000 BTC mark in November. The latest acquisition brings Metaplanet’s total Bitcoin holdings to 1,762, purchased at an average price of $75,600 per BTC.

Notably, this $61 million purchase represents nearly double the value of Metaplanet’s previous largest acquisition, which occurred in November and was valued at nearly $30 million. The company’s continued BTC accumulation has earned it the nickname “Asia’s MicroStrategy,” a reference to the US-based business intelligence firm known for its aggressive Bitcoin buying strategy.

It should be noted that today’s Bitcoin purchase comes a week after Metaplanet raised $60.6 million through two tranches of a bond issuance for the purpose of “accelerating Bitcoin purchases.” Metaplanet’s recent purchase also brings its BTC reserves to 12th place among publicly listed companies globally.

According to Metaplanet’s official announcement, the BTC return – the ownership metric used to measure the performance of a Bitcoin acquisition strategy – reached 310% from October 1 to December 23. The company emphasized that this strategy is designed to be “accretive to shareholders.”

Despite today’s significant Bitcoin buying, Metaplanet’s stock price saw little movement, closing at $22.5, down 0.98% on the day. However, year-to-date, the company’s stock is up a staggering 1,982%, reflecting the long-term benefits of its Bitcoin-focused strategy.

Will Bitcoin supply crunch accelerate adoption?

With the total maximum supply of Bitcoin at 21 million, the digital asset has cemented its reputation as an inflation-proof store of value. A recent report highlights that the supply of Bitcoin on cryptocurrency exchanges has reached multi-year lows, suggesting that Bitcoin holders are increasingly withdrawing Bitcoin from exchanges, reducing circulating supply and potentially driving prices higher.

Bitcoin’s scarcity has sparked an informal race between companies – and perhaps even governments. For example, Bitcoin mining company Hut 8 recently purchased 990 BTC for $100 million, increasing its total holdings to over 10,000 BTC. Likewise, MARA, another Bitcoin mining company, acquired 703 BTC earlier this month, bringing its total holdings to 34,794 BTC.

Speculation surrounding a potential US Strategic Bitcoin Reserve is fueling the narrative of a supply crisis in Bitcoin, which could accelerate its adoption. At press time, Bitcoin is trading at $94,003, down 1.5% over the past 24 hours.