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Tokyo-listed Metaplanet outlines Bitcoin plan amid growing economic pressure in Japan
Listed on the Tokyo Stock Exchange Metaplanet declared Bitcoin as a strategic reserve asset due to the current economic uncertainty pervading the Japanese economy, according to a May 13 statement.
The company She said:
“Metaplanet has adopted Bitcoin as a strategic treasury reserve asset. This move is a direct response to ongoing economic pressures in Japan, particularly high levels of government debt, prolonged periods of negative real interest rates, and a correspondingly weak yen.”
Metaplanet justified this change by highlighting the advantages of Bitcoin over Bitcoin JPYincluding protection against currency devaluation, speculative arbitrage opportunities in capital markets, and leveraging the tax benefits of Bitcoin.
Meanwhile, the company’s latest move has continued with several pro-BTC decisions in recent months. In April, the company engaged to Bitcoin as its main treasury asset, allocating 1 billion yen, about $6.56 million, to the flagship digital asset in a significant shift in its financial strategy.
Since then, the Japan-based company has accumulated approximately 117.72 BTC, worth 1.2 billion JPY or $7.7 million. He also appointed Dylan LeClair, a staunch Bitcoin advocate, as director of Bitcoin strategy.
Bitcoin-first approach
Metaplanet said it would prioritize “Bitcoin-first.” [and] “Bitcoin only” approach to its operations.
According to the company, this decision is rooted in the belief that the flagship digital asset is “fundamentally superior to any other form of political currency, traditional store of value and investment, and all other crypto-assets/securities.”
He went on to say that the BTC blockchain’s reliance on the work test (PoW) The consensus mechanism is advantageous as it “is closely tied to real-world energy inputs, mirroring cost conditions observed in traditional raw materials.”
Metaplanet continued:
“Bitcoin’s monetary policy is rigidly set in stone until 2140, distinguishing it from both monetary metals and competing crypto projects run at the whims of centralized developer teams. There will only ever be 21,000,000 BTC.”
As a result, the Japanese public company said it would initiate several financial options, including periodic issuance of long-term yen shares and liabilities, to accumulate BTC instead of holding onto the “ever-weaker yen.”