In a recent interview with the Financial Times, CEO Simon Gerovich revealed that Metaplanet (3350), a Japanese hotel company turned bitcoin investor, is gearing up for “phase two” of its ambitious bitcoin treasury strategy. With the largest corporate bitcoin stash outside of North America, Metaplanet aims to leverage its extensive holdings to finance acquisitions of businesses that generate cash flow.
This week, the company made headlines by acquiring an additional 2,205 BTC, bringing its total holdings to an impressive 15,555 BTC, valued at approximately $1.7 billion. Furthermore, Metaplanet has set its sights on amassing a staggering 210,000 BTC by the end of 2027.
Gerovich articulated the strategic importance of this approach, stating, “We need to accumulate as much bitcoin as we can . . . to get to a point where we’ve reached escape velocity, making it very difficult for others to catch up.” This commitment to building a significant bitcoin reserve positions Metaplanet as a formidable player in the market.
Looking ahead, phase two of Metaplanet’s strategy involves utilizing bitcoin as a collateral asset for financing. Gerovich explained that once the company gathers sufficient bitcoin reserves, they will be able to engage with banks for attractive financing options against their bitcoin holdings. This innovative move would enable Metaplanet to generate cash for acquiring profitable businesses, further enhancing its growth prospects.
While cryptocurrency-backed lending options are prevalent among crypto-native companies, they remain relatively uncommon with traditional banks. Gerovich noted that phase one of this strategy could last four to six years, during which time the competition for bitcoin is expected to intensify due to its diminishing availability.
As of Tuesday, Metaplanet’s shares, listed in Tokyo, closed at 1,565 yen ($10.71), marking a 0.84% increase on the day. The company has yet to respond to inquiries for further comment regarding this significant strategy.
Read more: Metaplanet Picks Up Additional 2,205 BTC, Holdings Now Cross 15,555 Bitcoin
