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The company’s market capitalization nearly hit the $1 billion milestone thanks to thos dramatic surge. Currently, Metaplanet is valued at around 14.8 billion Japanese yen worth approximately $940 million.
Metaplanet, an early-stage investment publicly traded company, has seen its shares skyrocket over the past week, outperforming other stocks in the Japanese market. Inspired by MicroStrategy’s investment strategy, Metaplanet announced its own Bitcoin (BTC) investment plan leading to a remarkable 158% increase in its share price.
In the past two days alone, the shares have jumped by 127%, and over the last seven days, the stocks have surged by an impressive 158%. This rapid growth led the Tokyo Stock Exchange (TSE) to activate circuit breaker trading halts twice in the past week to prevent the market from crashing. TSE rules state that stocks priced below 100 Japanese yen can only increase by a maximum of 30 yen per day. Metaplanet exceeded this limit on two consecutive days, prompting the TSE to intervene to protect the market from becoming unstable.
Metaplanet Nearly Crossed $1B Milestone
The company’s market capitalization nearly hit the $1 billion milestone thanks to thos dramatic surge. Currently, Metaplanet is valued at around 14.8 billion Japanese yen worth approximately $940 million.
The company, known as the Asian MicroStrategy within the crypto Twitter community, announced in April that it would adopt Bitcoin (BTC) as core treasury asset, taking a page from MicroStrategy’s playbook.
The move was supported by other venture capital firms including Sora Ventures and UTXO Management as well as prominent personalities in the crypto industry such as Mark Yusko, founder of Morgan Creek Capital, and Jack Liu, a founding member of Ordiswap.
Since the announcement, the company has accumulated a total of 117.7 BTC valued at $7.2 million. Metaplanet’s stock has also increased by 389% since adopting the new investment strategy to boost its Bitcoin reserves.
The company disclosed at the time that the move was part of its efforts to hedge against the falling yen caused by Japan’s current economic challenges.
“[It’s a] direct response to sustained economic pressures in Japan, notably high government debt levels, prolonged periods of negative real interest rates, and the consequently weak yen,” the company said.
Bitcoin’s Impressive Performance Against the Yen
Meanwhile, Bitcoin is up 193% against the Japanese yen over the past year. The leading digital asset hit a new all-time high against the yen earlier this week when it traded around $71,650.
Coinspeaker reported that the leading crypto asset hit 11.2 million yen on May 21, marking the first time Bitcoin surpassed the fiat currency since its launch. Apart from the Japanese yen, BTC also broke past other fiat currencies such as the Argentine peso and the Philippine peso on the same day.
