The bold Bitcoin investment strategy adopted by MicroStrategy and Metaplanet has resulted in a spectacular rise for their respective stocks.
The adoption of Bitcoin as an investment strategy is transforming the financial landscape of companies around the world. MicroStrategy and Metaplanet are clear examples of how the leading cryptocurrency can influence the performance of stocks on the stock market.
This year, MicroStrategy and Metaplanet shares have seen significant gains of 330% and 488% respectively, proving that investing in Bitcoin can be a driver of growth as well as an effective way to diversify assets.
MicroStrategy: The Bitcoin giant multiplied its shares with its bet on the cryptocurrency
MicroStrategy, led by Michael Saylor, has consolidated its position as the largest corporate holder of Bitcoin globally, with a current holding of 252.220 BTC in its treasury, valued at more than $15.300 billion, according to data from the Bitcoin Treasuries platform.
Source: Bitcoin Treasuries
Since beginning its Bitcoin accumulation strategy in 2020, MicroStrategy stock has seen a remarkable rise. So far this year, MSTR stock is up 330%. Saylor noted on X that his company’s stock growth has been driven by the growing acceptance of Bitcoin as a safe haven asset and a reliable store of value in an uncertain economic environment.
MicroStrategy’s investment strategy is based on the premise that Bitcoin is not only an investment asset, but also a way to hedge against inflation and the depreciation of fiat currencies. On numerous occasions, Saylor has encouraged companies to view Bitcoin as a viable alternative to preserve their capital, as concerns about global inflation increase. This shift in perception has led to an increase in demand for MicroStrategy’s stock, which now reflects the value of its cryptocurrency holdings more than ever.
Source: Yahoo Finance
Metaplanet: The new player in the Bitcoin field has seen its shares grow by 488%
Meanwhile, Japanese firm Metaplanet has followed in MicroStrategy's footsteps, adopting Bitcoin as its primary treasury reserve asset and making recurring purchases of the cryptocurrency to increase its holdings.
As reported by this outlet, the company recently made its largest Bitcoin purchase to date, acquiring 107,91 BTC for approximately $7 million USD. This purchase has brought their holdings of the cryptocurrency to 506,74 BTC, which is equivalent to a value of around $32,2 million USD.
Since Metaplanet adopted its Bitcoin investment strategy, its stock has seen an impressive surge, growing 488% so far this year. This growth, as with MicroStrategy, is largely due to the company’s decision to use Bitcoin as a way to hedge against the volatility of the Japanese yen, which has been under pressure due to low interest rates in Japan.
By positioning itself as one of the leading institutional holders of Bitcoin in Asia, Metaplanet has not only diversified its portfolio but has also attracted the attention of investors seeking exposure to cryptocurrencies through a publicly traded company.
Source: Yahoo Finance
Impact of Bitcoin investment on the market
In August, Saylor shared a chart on social media that highlighted the impact that Bitcoin adoption and investment has had on the performance of MSTR stock. He pointed that, thanks to its innovative cryptocurrency strategy, MicroStrategy's share price is in sharp contrast to that of other traditional assets, recording significant increases while other assets have recorded declines over the same period.
MicroStrategy and Metaplanet’s experience highlights Bitcoin’s potential not just as a cryptocurrency, but as a strategic tool for diversification and asset management. Experts believe that as more companies recognize the value of Bitcoin on their balance sheets, the cryptocurrency is likely to become a standard hedge against volatility and inflation.
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