Metaplanet, a Tokyo-listed cryptocurrency exchange, has bought an additional 108.7 bitcoins worth 1 billion yen (about $6.7 million), reflecting its bullish stance on cryptocurrencies.
In an official statement issued on Monday, Metaplanet announced that its total Bitcoin holdings have reached 639.5 Bitcoin, with a current market value of around $40.6 million.
The company purchased additional bitcoins at an average price of 9.19 million yen (about $61,880 per bitcoin), while its total purchases averaged 9.32 million yen per bitcoin.
Purchasing strategy:
The move comes as part of the company's ongoing efforts to boost its bitcoin holdings, having announced in May that bitcoin would form a core part of its treasury reserve strategy.
Last week, the company acquired another 107,913 bitcoins worth an estimated 1 billion yen (about $6.9 million).
The announcement of the purchase sent the company's shares up 12% on the Tokyo Stock Exchange, peaking at 1,045 yen before later falling to 988 yen.
In August, Metaplanet announced that it had received a 1 billion yen loan from shareholder MMXX Ventures to increase its bitcoin reserves.
The loan carries an annual interest rate of 0.1% and a repayment period of six months, which will enable the company to purchase approximately 118.5 Bitcoin at current prices.
Metaplanet also announced that it sold 223 Bitcoin put options at $62,000 with an expiration date of December 27, earning it a premium of 23,972 Bitcoin (equivalent to $1.44 million).
This deal yielded an annualized return of 45.63%.
