Analyst: Metaplanet has a Japanese Yen advantage over the U.S. Bitcoin Treasury Company

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Deep Tide TechFlow News, January 5th, according to Cointelegraph, Bitcoin analyst Adam Livingston pointed out that Bitcoin treasury company Metaplanet may gain a financial advantage due to structural weakness of the Japanese yen. Japan’s debt-to-GDP ratio is about 250%, leading to a continuous weakening of the yen. Since 2020, Bitcoin has appreciated approximately 1,159% against the US dollar, but has appreciated 1,704% against the yen.

Livingston stated that because Metaplanet’s liabilities are denominated in a weaker yen, it benefits from lower-cost financing. “Every coupon payment made by Metaplanet is denominated in a currency that is relatively depreciating against Bitcoin and the US dollar, so the effective cost of the 4.9% coupon continues to decrease.”

Currently, Metaplanet holds 35,102 Bitcoins, making it the fourth-largest Bitcoin treasury company. Despite accumulating a large amount of Bitcoin, the company’s stock price has still declined along with other crypto treasury companies.

BTC-1.39%
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