USD2025 Bitcoin Institutional Plays: MicroStrategy, Metaplanet, MARA, and More
MicroStrategy Acquires 1,070 BTC for $101 Million, Total Holdings Reach 447,470 BTC
On January 6, 2025, MicroStrategy announced the acquisition of an additional 1,070 BTC for approximately $101 million, culminating in a total holding of 447,470 BTC, which is valued at over $44 billion. The purchase was executed at an average price of $94,004 per bitcoin, as reported in an 8-K filing with the SEC. This acquisition follows the sale of 319,586 MicroStrategy shares, generating the same amount of funds. The company is engaged in a $21 billion equity offering and a corresponding fixed-income securities raise, with approximately $6.77 billion of shares still available for sale.
Michael Saylor, the company's co-founder, noted that MicroStrategy has now invested over $18 billion in Bitcoin acquisitions in the past nine weeks alone. Furthermore, analysts from Bernstein predict that corporate treasury adoption will continue to grow in 2025, with MicroStrategy expected to remain a leading factor. The firm recorded a Bitcoin Yield of 74.3% in 2024, highlighting effective accumulation while managing share dilution. MicroStrategy shares saw a significant increase, closing up 13.2% on the previous Friday and reflecting more than 431% growth over the past year.
Metaplanet Aims to Boost Bitcoin Holdings to 10,000 BTC
Metaplanet, a publicly listed Japanese company, is strategically aiming to raise its bitcoin (BTC) holdings to 10,000 coins. CEO Simon Gerovich emphasized the company's commitment to utilizing the "most accretive" capital market tools to achieve this goal while also enhancing transparency and shareholder engagement through new initiatives. As of early January 2025, Metaplanet holds 1,762 BTC, solidifying its position as Asia’s leading BTC treasury company. Throughout 2024, the Tokyo Stock Exchange-listed firm routinely expanded its BTC reserves using a mix of debt and cash.
Metaplanet's strategy mirrors that of MicroStrategy, which holds over 446,000 BTC, as the company increased its purchasing frequency during the latter half of 2024 amidst growing optimism in the crypto sector. Gerovich noted plans to leverage partnerships to promote bitcoin adoption in Japan and globally, aiming for innovative growth in the Bitcoin ecosystem. Since its initial BTC purchase in April 2024, Metaplanet's stock surged from about $1.90 (300 yen) to a closing price of $22.05 by year-end, marking a tenfold increase despite still being below a past peak of nearly $2,500 in February 2013.
MARA Holdings Loans 7,377 BTC to Third Parties Amid Yield Strategy
MARA Holdings, a publicly traded Bitcoin mining company, recently reported extending 7,377 BTC in loans to third parties as part of its innovative yield strategy. This loaning program, initiated throughout 2024, aims to generate a modest single-digit yield to offset operational expenses while temporarily allocating a portion of its Bitcoin reserves, which total 44,893 BTC following an increase related to mining operations. The company achieved a significant expansion of its total hashrate by 15%, reaching 53.2 exahash per second (EH/s) amid growing interest in its financing options.
Robert Samuels, the vice president of investor relations, noted that there is considerable interest in the lending program, which targets short-term arrangements with established third parties. However, this strategy has raised concerns following historical bankruptcies in the mining sector, prompting inquiries about risk management and the identities of these counterparties.
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