Metaplanet added a net 1,000 bitcoin in the third quarter, pushing its holdings to 44,000 BTC worth $3.8 billion. The Tokyo-listed firm paired the move with a revised capital allocation policy and a new Net Interest Income Strategy aimed at recurring cash flow from preferred securities.
Bitcoin treasury firm Metaplanet added a net 1,000 bitcoin in the third quarter, bringing its holdings to 44,000 BTC worth $3.8 billion as of Sept. 30. The Japanese company reached the total after selling and then repurchasing bitcoin in an exercise designed to demonstrate the liquidity of its reserves and strengthen its credit profile.
Sale and repurchase tests Metaplanet's liquidity
Metaplanet sold 10,000 BTC for approximately $789.2 million, averaging $78,925 per coin. It then bought back 11,000 BTC for $948.7 million at an average of $86,246 per coin. The company held the proceeds in cash long enough to exceed its outstanding interest-bearing debt, though those obligations were not repaid, before rebuilding the position at higher prices.
According to CoinDesk: "Our objective has been to build the leading Bitcoin financial company in Asia." CEO Simon Gerovich said the sale and repurchase, along with the new strategy announcements, reflected ambitions beyond simply accumulating bitcoin.
New income strategy targets preferred securities
Metaplanet's revised capital allocation policy will keep roughly 85% to 90% of total assets in Bitcoin, with the remaining 10% to 15% going toward acquisitions and income-generating investments. The new Net Interest Income Strategy will invest mainly in preferred securities issued by other bitcoin treasury companies, seeking returns above its funding costs. Bitcoin-related borrowing will generally stay below roughly 10% of BTC NAV, with permanent equity expected to fund most future purchases.
Bitcoin income business revenue slows
Its options-based Bitcoin Income Generation business reported approximately $5.4 million in third-quarter revenue, down 51% from the second quarter and 65% year over year. Nine-month revenue reached approximately $35.2 million, marking eight consecutive quarters of revenue generation. Metaplanet shares closed 2% higher on Monday at 297 yen, or $1.88.
The company's total bitcoin holdings now carry a cost basis of approximately $4.33 billion, averaging $98,454 per BTC.
Sources: CoinDesk, crypto.news
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