Metaplanet Inc. Doubles Stock Price After Announcing Bitcoin Balance Sheet Addition
Metaplanet Inc., a penny stock with a market capitalization of over 2 billion Yen, has caused a stir by announcing it will add Bitcoin to its balance sheet. The company's stock price nearly doubled following the announcement.
Metaplanet, aiming to blend finance and innovation, has secured a significant vote of confidence. The Capital Group, one of the world's largest and oldest investment firms, has become the company's largest shareholder with an 11.39% stake. This signals strong institutional backing for Metaplanet's Bitcoin strategy.
The company plans to invest around 6.5 million USD, equivalent to 1 billion Japanese Yen, in Bitcoin. This move could benefit Japanese investors, who may see Bitcoin price increases without high taxes on unrealized gains through investing in Metaplanet Inc. stock.
Despite reporting a loss of 683 million Yen with a turnover of 261 million Yen in the fiscal year 2023, Metaplanet has over 1 billion Yen in total capital for the planned Bitcoin investment. Mark Yusko, a prominent Bitcoin and finance investor, linked as a partner/investor, ironically commented on the announcement with the hashtag #ProbablyAFad.
Metaplanet Inc. is pioneering a future where finance and innovation intersect by introducing Bitcoin to its balance sheet. With strong institutional support and a significant planned investment, the company's stock price has already responded positively. However, the company's financial performance and the potential impact of Bitcoin on its future remain to be seen.
