Metaplanet, a company listed on the Tokyo Stock Exchange, has significantly expanded its bitcoin holdings by acquiring an additional 136 bitcoins, bringing its total holdings to over 20,136 coins. This recent purchase follows an earlier announcement this month that the firm surpassed the 20,000 mark. The acquisition was made at an average price just below $112,000 per bitcoin, marking a substantial investment that has elevated Metaplanet’s total expenditure on bitcoin to more than $2 billion.
The company employs a unique approach to track its investments, focusing on a BTC yield metric. This metric assesses the growth of bitcoin held per fully diluted share, deviating from the traditional yield associated with asset holdings. In the second quarter, Metaplanet reported an impressive BTC yield of 129.4%. However, for the ongoing third quarter, the yield has decreased to 30.8%, reflecting the volatile nature of the cryptocurrency market.
Metaplanet’s substantial stash of 20,136 bitcoins positions it as the sixth-largest publicly traded bitcoin treasury company. Collectively, public firms in this space now hold over 1 million bitcoins, with the majority controlled by one major player that boasts a treasury of 638,460 bitcoins.
Despite its significant investments, Metaplanet’s share price has faced challenges, declining more than 30% in the past month. This downturn can be attributed to a slight reduction in the price of bitcoin and a shrinking market NAV (mNAV), which indicates the premium of the company’s market capitalization in relation to its bitcoin holdings. The fluctuating bitcoin market continues to pose challenges to investors, as companies like Metaplanet adapt to rapidly changing conditions.
