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Japanese company copies MicroStrategy playbook
The Japanese public company Metaplanet has announced its decision to issue 1 billion yen ($6.2 million) in 0.5% bonds to buy more Bitcoin.
With its recent move, it has taken a page out of MicroStrategy’s Bitcoin debt playbook. AS reported by U.TodayThe Virginia-based company announced a giant $768 million Bitcoin purchase, financed with the help of its latest convertible note offering.
Metaplanet, which has already been dubbed the “MicroStrategy of Asia,” added the flagship cryptocurrency to its balance sheet in April.
Before moving into Web3 consulting, he was known as a struggling operator of low-budget hotels. Shares of the publicly traded company surged after making the largest cryptocurrency its main reserve asset.
Earlier this month, Metaplanet announced that it had acquired an additional $1.6 million in Bitcoin, increasing its holdings to 141.07 Bitcoin.
Reduce yen exposure
The adoption of Bitcoin was intended to reduce the company’s dependence on the Japanese yen, which recently collapsed to its weakest level against the U.S. dollar since 1990.
In March, the Bank of Japan (BOJ) implemented its first rate hike in 17 years, ending a long run of negative interest rates. However, he ruled out aggressive tightening of monetary policy.
After the stock market bubble burst in Japan in the early 1990s, the country entered a long period of extremely low interest rates, economic stagnation, and even deflation. Although Japan remains the world’s fourth largest economy with a high level of prosperity and security, it has lagged significantly behind other G7 countries. Wages and prices have remained more or less the same for the past three decades, while Tokyo comes nowhere near the most expensive cities in the world, despite regularly topping such rankings in the past.