Japanese-based company, Metaplanet will increase its Bitcoin (BTC) holdings by purchasing $1.59 million worth of assets.
Japanese-based company Metaplanet Inc has announced an addition to its Bitcoin (BTC) holdings amid its bullish stance. The company disclosed a board resolution to acquire ¥250 million worth of Bitcoin in line with its recent strategy. This comes as the price of the market leader hovers around $68,000 after a slight correction that saw bulls pitch $71,000.
Metaplanet Continues Buying Strategy
In a May 28 disclosure, Metaplanet revealed plans to add to its Bitcoin stash and book-keeping strategies to investors. The ¥250 million worth of Bitcoin is approximately $1.59 million adding to its previous 117.7 BTC at an average price of ¥10,193,536 per asset.
According to the release, for long-term values, the company will revalue acquired BTC at cost while short-term holding will be revalued at quarterly market values. Furthermore, unrealized gains or losses depending on the scenario will be posted as non-operational income while significant impacts on quarterly earnings will be disclosed promptly.
This recent acquisition comes after a previous ¥200 million foray into Bitcoin worth approximately $1.25 million. Drawing lines from Michael Saylor’s MicroStrategy, the company plans to stack to its holding up to $6.25 million as announced in April. Metaplanet views its in-roads to Bitcoin as a representation of innovation and adaptability in financial markets.
The company’s recent bullish stance has been lauded by the crypto community as the market relished institutional inflows. This year, institutions have increased their appetite for Bitcoin and other crypto assets leading to a bull run.
Bitcoin Records Slight Outflows
The announcement comes as Bitcoin trades at $68,249, a 2.85% decline in the last 24 hours. The asset’s recent correction comes after a bullish uptick ignited by a swing in crypto market sentiments. Despite this, market commentators tip the asset for new highs pointing to potential Fed rate cuts later this year.
In Q1 2024, Bitcoin hit an all-time high above $73,000 following the approval of spot BTC ETF by the United States Securities and Exchange Commission (SEC).