- Metaplanet has announced an overhaul of its treasury management strategy.
- The company incorporated a crypto asset into the strategy.
- The company has started acquiring the crypto asset and plans to “continue accumulating.”
Early-stage investment firm Metaplanet has adopted Bitcoin (BTC) as its “strategic treasury reserve asset,” the company announced on Monday.
The company said the move to overhaul its treasury management strategy was a direct response to sustained economic pressures in Japan, notably a volatile yen, high government debt levels, and prolonged periods of negative real interest rates.
A “Bitcoin-first, Bitcoin-only Approach”
According to a press release dated March 13, Metaplanet’s latest pivot prioritizes a “Bitcoin-first, Bitcoin-only approach” for the company. The company plans to leverage long-dated yen liabilities and periodic share issuances to “continually accumulate more BTC instead of retaining the ever-weaker yen.”
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“Metaplanet views bitcoin as fundamentally superior to any and all other forms of political currency, traditional stores of value and investment, and all other crypto-assets/securities. Bitcoin is an absolutely scarce digital synthetic monetary commodity, with no central issuer,” the company stated.
The company lauded Bitcoin’s Proof-of-Work (PoW) consensus mechanism, noting that it was not a liability but a “profound asset” that presented a programmatically rising marginal cost of production for the remaining 1.3 million BTC yet to enter circulation.
“This is one of the many features setting bitcoin the monetary commodity apart from its predecessors, whereas traditional commodities face headwinds in the form of increasing supply as investment is made into additional production.” The statement read.
Metaplanet’s move seems to embody the strategy employed by U.S.-listed MicroStrategy, which has since amassed 1% of the entire BTC supply following its latest acquisition of 9,254 BTC in March. As for Metaplanet, the company has reportedly acquired 117.7 BTC ($7.19 million) since April.
Read about the genesis of Metaplanet’s Bitcoin strategy:
Metaplanet Makes BTC Play to Seize Japan’s Digital Market
Stay updated on Taiwan’s newly proposed AML rules for crypto firms:
Taiwan Targets Crypto Service Providers with Strict AML Laws
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