MetaPlanet Surpasses Tesla

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Japanese Bitcoin treasury company MetaPlanet has surpassed Musk’s Tesla in total Bitcoin holdings, after their second Bitcoin purchase in this week alone. They acquired 1,234 BTC for $133M, bringing their total holdings to 12,345 BTC or $1.32B worth, narrowly edging out Tesla at 11,509 BTC.

Before pivoting to Bitcoin, MetaPlanet was a hotel operator. However, the company has a long history of adaptation in the face of new challenges and opportunities. 

Established in 1999, MetaPlanet was initially focused on the music industry. It pivoted to hotels around 2013 and then in the Covid downturn it ventured into the Web3 space. 

Inspired by Strategy (formerly MicroStrategy), MetaPlanet became a Bitcoin treasury company in 2024, divesting its hotel assets to buy BTC. 

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Since then, MetaPlanet has been on a Bitcoin buying spree, having acquired 1,111 BTC for $113.2M just three days earlier. These purchases are likely fuelled by their recent $515M raise through the issuance of 54M shares, as part of their broader “555 Million Plan”. The plan involves the sale of 555M shares or 92.4% of the shares outstanding to facilitate the purchase of more Bitcoin. Their goal: 1% of Bitcoin’s total supply, or 210,000 BTC by 2027.

Tesla, by comparison, has not added to their BTC stockpile in years and sold a large portion of its holdings in 2022. 

For a brief period, CEO Elon Musk championed the asset, even enabling customers to buy vehicles with it. However, the company later suspended Bitcoin payments, citing environmental concerns over the energy intensity of Bitcoin mining.

The "Bitcoin treasury" model allows companies to position their stock as a proxy for Bitcoin investment, offering exposure to the asset through traditional financial markets.

For MetaPlanet, this strategy is often viewed as a direct response to Japan's long-term economic environment, which has been characterised by decades of low growth and a weakening yen.