Strategy and Metaplanet Bolster Bitcoin Holdings Amid Market Correction

By: Eva Baxter

In a significant move within the crypto market, two heavyweight players, Strategy and Metaplanet, have capitalized on a recent Bitcoin market correction by acquiring substantial amounts of the cryptocurrency. These acquisitions come as Bitcoin’s price saw a temporary decline towards the end of May, presenting a golden opportunity for large holders to increase their reserves.

Strategy, formerly known as MicroStrategy, announced the acquisition of 705 BTC between May 26 and May 30, costing the company $75.1 million. This purchase elevated Strategy's total holdings to 580,955 BTC, accounting for approximately 2.8% of Bitcoin's total supply. The purchase notably marks the first instance where Strategy didn't sell any common stock to fund the acquisition, instead utilizing new at-the-market offerings for its preferred stock, boosting its financial strategy. Michael Saylor, Strategy's executive chairman, highlighted the firm's total cost basis at $40.68 billion, with their Bitcoin holdings valued at over $60 billion, showing potential unrealized profits.

Simultaneously, the Tokyo-based investment firm, Metaplanet, disclosed its acquisition of 1,088 BTC for 16.89 billion yen, or approximately $117.5 million. This acquisition raised Metaplanet’s total Bitcoin holdings to 8,888 BTC, making it the world's eighth-largest corporate Bitcoin holder. This strategic purchase follows Metaplanet’s aggressive ambition to enhance Bitcoin adoption across Asia and its goal to acquire over 10,000 BTC within the year.

Metaplanet's CEO, Simon Gerovich, expressed satisfaction with their current progress, reporting a quarterly yield of 66.3% and emphasizing their ongoing efforts to achieve a quarterly return of 35%. Both Strategy and Metaplanet’s moves are indicative of a growing trend among large corporations to increase their stake in Bitcoin, reflecting confidence in its long-term potential as a key asset. These acquisitions signify robust corporate investment activity within the cryptocurrency market, which may influence market dynamics and investor sentiment moving forward.

For more insights into the rapidly evolving cryptocurrency ecosystem, visit established crypto information platforms like CoinMarketCap or CryptoCompare.