Japanese investment firm Metaplanet plans to raise US$5.4 billion through an equity issuance to expand its bitcoin holdings.

The company will issue 555 million shares over the next two years using moving strike warrants, similar to at-the-market facilities in Japan.

Evo Fund is the designated allottee, and Evolution Japan Securities will act as the arranger.

Metaplanet currently holds 8,888 BTC worth around US$920 million. It recently added 1,088 BTC, nearing its short-term goal of 10,000 BTC by 2025.

The firm targets 30,000 BTC by the end of 2025, 100,000 by 2026, and 210,000 by 2027, equal to 1% of bitcoin’s total supply.

Metaplanet is now the seventh-largest corporate bitcoin holder. Its shares are up 258% year-to-date but closed down 1.6% on June 6.

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🔗 Source: The Block

🧠 Food for thought

1️⃣ Corporate bitcoin treasuries represent a new asset class with significant accumulation power

Metaplanet’s ambitious $5.4 billion capital raise highlights the accelerating trend of companies creating bitcoin treasuries, with 148 companies now collectively holding over $100 billion in bitcoin 1.

This corporate accumulation strategy was pioneered by Strategy (formerly MicroStrategy), which began with a $250 million allocation in August 2020 and now holds over 580,000 BTC valued at approximately $62 billion 1.

The scale of institutional buying is creating measurable supply constraints. CryptoQuant’s CEO has noted that Strategy’s aggressive accumulation alone impacts bitcoin’s circulating supply by acquiring coins faster than they’re being mined 2.

This trend marks a significant shift in market dynamics, transitioning bitcoin from primarily retail-driven to increasingly institution-dominated, fundamentally altering traditional market behavior patterns 2.

Metaplanet’s target of 210,000 BTC would represent approximately 1% of bitcoin’s fixed supply, demonstrating how relatively few corporate players can control substantial portions of the available market.

2️⃣ Japanese market emerges as significant player in bitcoin treasury competition

Metaplanet’s emergence represents the first major Asian entrant in the corporate bitcoin treasury race, diversifying what has been a predominantly Western phenomenon led by U.S. companies like Strategy.

The company’s rapid ascent to becoming Japan’s top stock by turnover and volume, with 258% year-to-date gains and 1,390% growth since beginning its bitcoin strategy, demonstrates the potential market impact of this approach in new markets.

This expansion of the bitcoin treasury model to Japan could signal broader international adoption, particularly significant as Japan has traditionally maintained a regulated but progressive stance toward cryptocurrency adoption.

Metaplanet’s execution approach using moving strike warrants, Japan’s version of at-the-market equity facilities, showcases how bitcoin treasury strategies are being adapted to different regulatory environments and capital market structures.

The company’s aggressive target to increase holdings from 8,888 BTC to 210,000 BTC by 2027 represents one of the most ambitious accumulation plans outside of Strategy’s pioneering approach.

3️⃣ Bitcoin treasury companies employ increasingly sophisticated financial engineering

Metaplanet’s approach combines equity raises with potential convertible bonds, preferred shares, and ordinary bonds, demonstrating the evolution of financial instruments being deployed to fund bitcoin acquisitions 3.

Companies in this sector are developing specialized metrics like “BTC Yield” to measure effectiveness, reflecting how traditional financial analysis is being adapted to evaluate bitcoin treasury strategies 4.

These companies effectively function as bitcoin-backed securities, creating a bridge between traditional capital markets and cryptocurrency by allowing investors to gain bitcoin exposure through regulated equity markets.

The financial structure of these companies creates a leveraged bitcoin play, where stock performance becomes closely tied to bitcoin price movements but with additional volatility due to the use of debt and equity instruments 5.

For investors, these companies offer bitcoin exposure with the convenience of traditional brokerage accounts, though with added corporate governance risks and potentially higher volatility than direct bitcoin ownership.

Recent Metaplanet developments

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