Metaplanet Taps SBI Group’s Crypto Arm to Aid its Bitcoin Stockpiling Efforts

Japan’s Metaplanet has partnered with SBI VC Trade, the crypto division of financial services giant SBI Group, to support its ongoing efforts to bolster its corporate Bitcoin holdings.

The partnership grants Metaplanet access to SBI’s custodial services, designed to prioritize tax efficiency and offer the potential to use Bitcoin as collateral for financing. 

It forms part of Metaplanet’s strategy to engage with industry players in Japan and broaden its financial options, the companies announced in a statement on Sunday.

Metaplanet, a publicly traded Bitcoin consulting firm, said that as its corporate treasury grows, it will continue to explore financial tools that provide greater “financial flexibility.”

Traded on the Tokyo Stock Exchange, Metaplanet has undergone a strategic shift this year towards focusing on Bitcoin by designating the crypto as its principal treasury reserve asset. 

Metaplanet, which has acquired 360 Bitcoin ($207 million) to date, utilizes its primary reserve asset as collateral to strengthen its ability to secure equity and debt financing. 

It also forms part of the company’s broader vision of leveraging the world’s largest crypto and the characteristics that define it, including scarcity and its decentralized nature.

In their statement, the companies said that any significant financial impact or material developments resulting from its partnership would be disclosed in due course.

Metaplanet’s investment in Bitcoin has resulted in explosive growth for the company this year. At the time of writing, its shares are trading for around $8.35, representing a 662% increase for 2024. Its performance over the last five days has fared much worse, down about 33.5%, as Bitcoin struggles to break above its March all-time high above $73,000.

SBI VC Trade, meanwhile, is a registered crypto exchange and type 1 financial instruments business operator that provides trading, management services, and associated corporate solutions, including custodial services. 

Some view crypto as another avenue for Japan’s ailing economy, whose yen has struggled against other major currencies this year amid the backdrop of an aging population.

In February, the Japanese government took steps to allow investment firms to hold crypto directly, which opened the door for Metaplanet to begin accumulating Bitcoin.

Edited by Sebastian Sinclair