- Metaplanet added 23.972 put options sold, taking its Bitcoin holdings up to 530.717 BTC.
- To build up reserves, the company bought 223 Bitcoin put options at $62k strike price expiring in December 2024.
- The case that Metaplanet employed Bitcoin in the treasury management can be aligned with the contemporary trend that more entities start applying cryptocurrencies in asset management.
Tokyo-based investment firm Metaplanet Inc. has increased its Bitcoin reserves to 530.717 BTC as a result of a profitable Bitcoin options trade. The firm generated about 23.972 BTC or roughly $1.46 million at current price level through put options on Bitcoin. This action is in line with Metaplanet’s earlier plans to enhance the overall capacity in the cryptocurrency market and enrich its balance.
A Great Options Strategy
Metaplanet released a statement informing its investors of a recent Bitcoin options deal with QCP Capital.The firm disposed of 223 Bitcoin put options with an exercise price of $62,000 for each Bitcoin on the Bitcoin per share, and they expire on December 27, 2024. In this regard, the firm can buy Bitcoin at the strike price at maturity if the price falls below it. But the conventional trade is completely cash secured which helps in minimizing various sorts of risks.
The margin collateral for the strategy was obtained from the exercise of the firm’s recently acquired stock rights and was $13,800,000.Metaplanet’s method shows that options on BT Coinbase can offer extra gains in addition to broadening operations throughout the business.
The firm’s CEO, Simon Gerovich said that such characteristics of Bitcoin as volatility open up the possibilities for increasing the company’s reserves. They explain that this method aligns with the company’s overall financial strategy at Metaplanet of gradually building up the exposure to Bitcoin and the company’s financial position.
Bitcoin Holdings and Effective Asset Allocation
Metaplanet now has 530.717 BTC, acquired with 23.972 BTC earned from the options sale and worth over $32.4 million. Buying has intensified in the last few months; the firm has recently bought 107.913 BTC at $6.9 million.
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Bitcoin as an audited treasury reserve from a firm such as MetaPlanet shows more companies are adopting digital currencies in their asset portfolios. As for this strategy we want to ride the Bitcoin growth while also being able to make extra cash from options. The company has seen stocks skyrocket as shares have increased 468% year to date which cements the company further in the market competition.
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