Metaplanet announced the sale of 233 BTC put options with a strike price of $62K.
The firm’s current Bitcoin holdings have reached 530.717 BTC.
Metaplanet, a Japan-based Bitcoin investment firm, has announced the sale of 233 BTC put options with a strike price of $62,000 expiring on December 27, 2024. It resulted in earning a premium total income of 23.97 BTC. The firm’s strategic use of Bitcoin derivatives is to generate additional income from its substantial crypto holdings.
The firm has entered into the Bitcoin options trade with Singapore-based digital asset trading firm QCP Capital. Metaplanet stated that it enhances the Bitcoin reserves but also strengthens the company’s balance sheet. This lined up with the firm’s ongoing financial strategy to strengthen long-term Bitcoin exposure and to improve the company in achieving its profit.
Moreover, the margin funds from these transactions are planned to purchase Bitcoin. Selling put options, referred to the ‘target purchase,’ is another method to acquire the asset. The firm assured that there is no change in the intended use of the funds.
Recent Moves of Metaplanet
Metaplanet had purchased an additional 107 Bitcoin (BTC), worth $6.9 million on Tuesday, at an average price of 9.26 million yen ($64,168) per BTC. Moreover, the firm’s Bitcoin holdings have now reached 530.717 BTC.
After the recent purchase, the Metaplanet stock price surged 3.63% and is currently trading around 1,027. Year-to-date gains in its stock price is marked at 540%. However, it’s trading down by 66% compared to its 2024 high of 3,000 in May when the company announced its first-ever Bitcoin purchase.
On the other hand, with the collaboration with SBI Group, Metaplanet will gain access to a corporate custody service focusing on compliance and tax efficiency. Besides, the partnership could see the firm using Bitcoin as collateral for financing.
Meanwhile, the price of the largest cryptocurrency, Bitcoin, is on the downward momentum. At press time, BTC is trading at $60,682, losing 1.05% in the past 24 hours. The trading volume has dropped over 16.60% to $41.59 billion, as per CMC data.
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