Metaplanet raises $30 million via zero-interest bonds to grow Bitcoin holdings

(Originally posted on : Invezz )

Japan-listed company Metaplanet is issuing 4.5 billion yen ($30 million) worth of zero-interest bonds to expand its Bitcoin holdings. This move aligns with its strategy to accumulate the cryptocurrency as a core asset.

Metaplanet’s move mirrors MicroStrategy’s widely recognised approach of leveraging corporate reserves to acquire Bitcoin, positioning itself as a Bitcoin-focused business in Japan.

The bond issuance comes as the company aims to hedge against the yen’s volatility and Japan’s rising debt levels.

Bonds to mature in June 2025

The newly issued bonds are the fourth series in Metaplanet’s financial strategy and carry a zero per cent interest rate.

These bonds are set to mature on 16 June 2025, giving the company a defined timeline to execute its Bitcoin purchase strategy while reducing short-term financial pressures.

This zero-interest approach allows Metaplanet to optimise its borrowing capacity without incurring additional costs.

By lowering its immediate debt burden, the company is focusing on long-term growth opportunities tied to Bitcoin’s potential appreciation.

Structured repayment strategy using warrants

To ensure financial stability, Metaplanet plans to repay the bonds using funds raised from previously issued warrants.

This structured approach highlights the company’s focus on sustainable capital management while offering confidence to its investors.

By recycling capital from warrant exercises, Metaplanet balances financial innovation with responsibility.

This method not only reduces risks for bondholders but also reflects the company’s commitment to maintaining a clear financial roadmap.

This issuance follows an earlier move in which Metaplanet raised 1.75 billion yen ($11.3 million) through one-year ordinary bonds at an annual interest rate of 0.36%.

The entire amount was allocated to acquiring Bitcoin, demonstrating the company’s clear commitment to building its BTC reserves.

Metaplanet’s Bitcoin buying journey began in April 2024 as part of a broader strategy to hedge against economic uncertainty.

So far, the company has accumulated 1,142 BTC, valued at approximately $122.67 million at current market prices.

Metaplanet’s Bitcoin hedge

Japan’s growing debt levels and the yen’s volatility have driven Metaplanet’s decision to integrate Bitcoin as a reserve asset.

By using Bitcoin as a hedge, the company is mitigating risks associated with traditional financial markets and the weakening yen.

Metaplanet’s ongoing investments align with the global trend of institutions adopting Bitcoin as a store of value.

The move comes at a time when Bitcoin’s market dominance and institutional adoption are on the rise, further solidifying its position in corporate treasuries.

Aligning with global Bitcoin strategies

Metaplanet’s approach closely resembles MicroStrategy’s strategy of accumulating Bitcoin through debt instruments.

MicroStrategy has emerged as a global leader in corporate Bitcoin adoption, holding over 214,000 BTC to date.

By issuing bonds to fund Bitcoin purchases, Metaplanet is positioning itself as Japan’s leading corporate adopter of the cryptocurrency.

This strategy could attract investor interest, particularly as Bitcoin continues to gain recognition as a viable hedge against inflation and fiat currency risks.

With the zero-interest bonds maturing in 2025, Metaplanet has a clear window to strengthen its BTC reserves while minimising short-term financial obligations. As the company aligns with global trends, its Bitcoin-focused strategy positions it as a notable player in Japan’s corporate landscape.

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