Japan’s leading firm Metaplanet’s treasury firm, just gained 1,009 BTC, reaching 20,000 BTCs of handles such as firm releasing millions of new shares.
According to a Monday metaplanet announcementThe company gained 1,009 BTC and reached 20,000 BTC for 16.479 billion Yen (nearly $ 112 million). On the same day, the firm announced The release of 11.5 million new shares last week, following the use of an investor of warrants to get a stock.
According to bitcointreasuries.net DataMetaplanet is currently the largest and leading Japanese Bitcoin Treasury. The firm pays an average price of $ 102,607 per Bitcoin, resulting in a 6.75% income compared to the price of Bitcoin at the time of writing.
The investor in question, the Evo Fund, gained 10 million shares at $ 5.67 and 1.5 million just under $ 6 for a total of $ 65.73 million. Metaplanet spends the proceeds to finance the early redemption of approximately $ 20.4 million worth of previously given bonds. The Evo Fund still has rights in additional 34.5 million shares.
Related: Dutch crypto firm AMDAX targets 1% Bitcoin supply with $ 23M launch of Treasury
Metaplanet responds to market pressure
The announcement came too Metaplanet facing pressure mountedWith the downfall of its sharing price, it threatens the fundraising model it used to develop its Bitcoin treasury. The company’s stock has dropped 54% since mid -June, despite having bitcoin almost 2% at the same time.
Analysts featured that falling stock prices make warrants for the Evo Fund that is less appealing -it squeezes metaplanet’s liquidity and reduces its ability to gain more bitcoin. However, the company’s approach appears to be emerging and adapting to this new situation.
Last week, metaplanet DEVELOPED PLANS TO Approximately 130.3 billion yen ($ 880 million) by a public sharing offer in overseas markets. Today, the shareholders of the company will vote if approved the release of up to 555 million preferred shares that can raise 555 billion yen ($ 3.7 billion).
Related: Bitcoin Treasury Firm Metaplanet Graduates to FTSE Japan and All-World Index
Bitcoin treasury is safe to bet
After the approach – known as microstrategy – created the Corporate Treasury Streasury approach and adopted it with great success, many companies decided to follow in its footsteps. However, this approach is not guaranteed to work in the long run.
In fact, many Bitcoin treasury appears to be in deep problem. In fact, Bitcoin Treasures may fail when Bitcoin price drops And their premium values of stock net assets are missing, closing funding opportunities. Margin loans or calls may then —on those companies to forced bitcoin sellers.
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