Metaplanet Faces 17% Loss as Bitcoin Price Plummets

Metaplanet's Bitcoin Strategy Faces Challenges

Metaplanet, likened to Japan's MicroStrategy, holds over 30,000 BTC, valued at $2.7 billion, with an acquisition cost of $108,000 per coin.
Currently, BTC trades at approximately $87,700, leading to a nearly 17% investment loss for Metaplanet.
The company's stock price has dropped 81% since June, affecting its market position significantly.
Metaplanet recently borrowed $130 million to increase its BTC holdings, utilizing a $500 million credit facility from October.
Key dates include the Bank of Japan's interest rate decision on December 18 and a shareholder vote on a $135 million fundraising initiative on December 22.
The outcomes of these events will heavily impact Metaplanet's financial stability.
Japan lacks a Bitcoin ETF, making Metaplanet a primary means for local investors to gain BTC exposure via the stock exchange.
For Metaplanet to remain solvent, BTC must rise above $108,000, ideally reaching $130,000; a fall below $70,000 might necessitate asset liquidation.

Market expert Shanaka Anslem highlights that Metaplanet's strategy is under scrutiny, marking a significant experiment in corporate Bitcoin allocation.