Metaplanet Secures $100M Bitcoin-Backed Loan to Strengthen Crypto Investments

• Metaplanet secures a $100M Bitcoin-backed loan to strengthen crypto investments.
• The company aims for 210,000 BTC by 2027 despite the current market downturn.
• Loan financing supports Bitcoin acquisitions, revenue business, and share buybacks.

Metaplanet has secured a $100 million loan backed by its Bitcoin to strengthen its crypto investments and buy company shares back. The Tokyo-traded Bitcoin treasury company affirmed that the loan was done on the 31st of October through a short-term credit contract. 

No further details are given about the lender, but the company added that the loan follows a benchmark rate in U.S. dollars with a spread and can be repaid at any time.

The company highlighted that the financing structure is conservative and stable and backed by its robust asset base. Metaplanet currently possesses 30,823 BTC, which is worth about $3.5 billion as of the end of October. It claimed that this is enough to cover the healthy collateral coverage even in the case of a fluctuation or fall in Bitcoin prices.

The filing shows that the proceeds of the credit line will be utilized in a strategic manner. These include new Bitcoin acquisitions, its business of Bitcoin revenues, where it collects premiums as an option on its holdings, and its scheme to repurchase large amounts of shares under market conditions.

Source: Google Finance

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Metaplanet’s Share Buyback Boosts Investor Confidence

The announcement is after Metaplanet had recently announced a ¥75 billion ($500 million) Bitcoin-collateralized share buyback program. The move was implemented to boost investor confidence following a decline in the company’s market-based net asset value (mNAV) to less than 1.0. That measure of the company valuation relative to Bitcoin assets had fallen to 0.88 before returning to above parity.

Metaplanet has currently put new bitcoin purchases on hold amid the downturn, but still intends to achieve its goal of having 210,000 BTC by 2027. The company reckons that this new financing will ensure it keeps up with its growth trajectory while dealing with market volatility in an effective manner.

Corporate Treasuries Turn to Bitcoin-Backed Financing

Comparatively, Hyperscale Data Inc., a U.S.-based firm, recently claimed its Bitcoin treasury has reached $73.5 million, which is 61% of its total market capitalization. It has additionally bought another 360 BTC at a price of $45.6 million this week, which illustrates why corporate treasuries are increasingly interested in Bitcoin-backed financing.

Metaplanet anticipates the effects of the $100 million loan’s financial costs on its financial performance in 2025 to be insignificant. The company announced that it will disclose any significant changes in future filings.

The action makes Metaplanet one of the most aggressive accumulators of Bitcoin in the market amid market volatility and higher lending standards, as well as financial discipline and transparency.

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