Opinion: Metaplanet Benefits from Structural Weakness of the Yen, Holds Greater Advantage over US Crypto Treasury Companies

BlockBeats News, January 5, crypto analyst Adam Livingston stated that Japanese Bitcoin treasury (DAT) company Metaplanet has more advantages compared to American crypto treasury companies. Japan's debt/GDP ratio is about 250%, causing the yen to depreciate through annual deficit financing, resulting in structural weakness of the yen. This leads to Metaplanet's yen-denominated liabilities depreciating, lowering its financing costs, and the actual cost of its 4.9% coupon continues to shrink when denominated in bitcoin. Since 2020, bitcoin has risen 1,159% against the US dollar, but 1,704% against the yen.

Currently, Metaplanet still holds 35,102 BTC, making it the fourth largest BTC reserve company. Its recent increase of 4,279 BTC is valued at $451 million.