The Japanese company announced its plan to adopt bitcoin as a reserve asset to hedge against the volatility of the yen in May.

Japanese investment adviser Metaplanet (3350) has arranged a 1 billion-yen ($6.8 million) loan to buy more bitcoin (BTC) after adopting the largest cryptocurrency as a reserve asset earlier this year.

The Tokyo-based company said it borrowed the money from shareholder British Virgin Islands-based MMXX Ventures “with the entire amount allocated for purchasing bitcoin”, in a statement on its website. The six-month loan carries an interest rate of 0.1% a year.

In May, Metaplanet said it would adopt bitcoin as a reserve asset to hedge against the volatility of the yen. At the start of July, it held a total of 161.3 BTC ($9.2 million).

The company’s strategy mimics that of software developer MicroStrategy (MSTR), which has been acquiring bitcoin for over four years and holds in excess of 226,000 BTC, more than 1% of all the bitcoin that will ever exit.

Metplanet shares closed at 893 yen ($6.10) on Thursday, 20% higher on the day as Japanese stocks continued their recovery from last week’s sell-off following an interest-rate hike by the Bank of Japan.

The post Metaplanet Arranges Loan to Buy $6.8M of BTC appeared first on Crypto Insider.

The investment firm now owns 141 BTC, worth about $9.4 million.

Japanese investment firm Metaplanet disclosed an additional bitcoin (BTC) purchase, worth 250 million yen ($1.6 million), taking its holdings of the largest cryptocurrency to 141 BTC, a value of about $9.4 million.

Metaplanet stock rose by 9.9% Tuesday after it made the purchase, its third since April 2024, public.

Last month, the company said it made bitcoin a reserve asset to reduce its exposure to risk arising from Japan’s debt burden and the resulting volatility in the yen. In 2023, the government’s net debt to gross domestic product ratio was the highest in the G7, about 159%, according to data on Statista. Canada had the lowest ratio, just 15%.

Metaplanet’s bitcoin strategy mirrors that of Tysons Corner, Virginia-based software developer MicroStrategy (MSTR), which has accumulated 214,400 BTC worth $14.3 billion since it started purchasing the asset in 2020 and is the largest corporate owner of the token.

The post Metaplanet Discloses $1.6M BTC Purchase; Shares Jump 10% appeared first on Crypto Insider.