Metaplanet’s Bitcoin Strategy Under Scrutiny: Company’s Value Plummets Below Reserves

Metaplanet Inc., a Tokyo-based company known for its aggressive Bitcoin strategy, is facing increasing pressure after its enterprise value dipped below its Bitcoin reserves. The company, which started purchasing Bitcoin to hedge against Japan’s economic challenges like rising public debt and a weakening yen in April 2024, has seen its stock plummet by approximately 70% since reaching record highs in June. This dramatic drop comes despite the company’s initial success in accumulating over 30,823 Bitcoin, valued at nearly $3.4 billion, leading to concerns about its long-term viability.