Super Planet recently announced its plan to raise 10.08 billion yen ($70 million) in funding, with a focus on increasing its investment in Bitcoin (BTC). The company intends to raise these funds through the issuance of stock purchase rights to its shareholders.
Metaplanet’s Strategic Investment in Bitcoin
Transitioning to a focus on Metaplanet, the company is set to raise 8.5 billion yen to further bolster its position in Bitcoin. By alloting one stock acquisition right for each outstanding share of common stock on September 5, shareholders will have the opportunity to purchase company shares at 555 yen per share from September 6 to October 15. This strategic move is reminiscent of the approach taken by MicroStrategy in 2020, indicating Metaplanet’s alignment with current market trends favoring digital assets.
Metaplanet’s decision to allocate significant capital to Bitcoin and related industries is driven by its belief in the bright future of digital currencies. Despite the current price drop, the company remains steadfast in its conviction about the long-term value of Bitcoin.
Expanding Revenue Streams Through Bitcoin
Metaplanet currently holds approximately 246 BTC valued at $13.4 million, with plans to significantly increase its Bitcoin holdings through the new funding. The company anticipates that a rise in Bitcoin prices will positively impact its balance sheet and overall asset position.
In addition to bolstering its Bitcoin holdings, Metaplanet intends to explore business opportunities in the Bitcoin ecosystem. The company plans to engage in covered call options on Bitcoin to generate additional income, providing a more stable revenue stream even in volatile markets. Moreover, by shifting away from its struggling restaurant business, Metaplanet aims to revitalize the hospitality sector targeting the Bitcoin audience, tapping into a niche market.
Bitcoin as a Safe Haven Investment
Highlighting Bitcoin as a hedge against economic shifts, Metaplanet underscores the cryptocurrency’s reliability amidst currency volatility. The company’s strategic exit from legacy markets reflects broader industry shifts towards digital assets, showcasing its proactive approach in adapting to evolving market trends.
Also read: Metaplanet partners with Hoseki to verify BTC holdings