The corporate crypto treasury sector has seen significant growth since the beginning of the year. These transactions are often accompanied by fundraising, as in the case of this Japanese company, which has just completed one of the largest cash transfers ever made in the country.
Metaplanet raises $1.4 billion internationally
Initially dedicated to accumulating Bitcoin, cryptocurrency purchases by publicly traded companies have now taken a notable turn toward the altcoin market. This is a very favorable development for Ethereum, which is popular for its ability to optimize ETH holdings with its staking option and other decentralized finance (DeFi) returns.
However, it is BTC that largely occupies the top spot, with a share of more than 65% of the $140 billion currently estimated for this sector—all cryptocurrencies combined—held by Michael Saylor’s insatiable company Strategy.
This amount is constantly rising, given the numerous fundraising operations aimed at buying ever more Bitcoin. Just look at how the Japanese company Metaplanet finalized an international sale of shares worth $1.45 billion on September 10.
In Japan, this transaction is already a national record. It is now one of the largest cash transfers ever made in the country, involving the issuance of 385 million shares at an initial price of ¥553 ($3.73).
Almost the entire amount will be used to purchase Bitcoin
Specifically, this fundraising involves two main areas of expenditure. The most significant is, of course, a new BTC purchase campaign, for a total of $1.39 billion (¥204.1 billion). The other $139 million (¥20.4 billion) will be used to support its “Bitcoin revenue generation activity.”
Holding BTC does not currently generate any interest or return in itself. Therefore, as part of its Bitcoin treasury operations, the Company has generated revenue through trading BTC options.
Metaplanet
According to figures released by Metaplanet, this associated yield-generating activity enabled it to record an estimated profit of JPY 1,904 million (approximately $13 million) in the second quarter of this year. The goal is to “accumulate profits during the fiscal year in order to achieve operational profitability for the full year.”
Metaplanet has a portfolio of 20,136 BTC, estimated at $2.3 billion at the current BTC price. This accumulation puts it in 6th place in the Bitcoin treasury rankings behind Strategy (638,460 BTC), Marathon Digital (52,447 BTC), Twenty One Capital (37,229), Bitcoin Standard Treasury Company (30,021 BTC), and Bullish (23,440 BTC). The planned arrival of more than 12,000 additional BTC could well allow it to move up a few places.
