A Japanese company purchases a large amount of Bitcoin! Who is Metaplanet? A thorough explanation for beginners!
Hello everyone! This is John, the "Blockchain Brother."
Today, we have some exciting news that gives us a glimpse into the future! A Japanese company called Metaplanet has acquired even more Bitcoin (digital money that can be used on the Internet!), and has become one of the world's top Bitcoin holders!
"I've heard a lot about Bitcoin, but it seems complicated..." "What does it mean that a company is buying Bitcoin?" If you're thinking that, don't worry! In today's blog, I'll explain this news in a fun way that anyone can understand, without using technical terms as much as possible. Let's take a look together!
What kind of company is Metaplanet, the main character of this story?
First, let me give you a brief introduction to Metaplanet Inc., the main subject of this news.
Metaplanet is actually a Japanese company that originally engaged in investment business and hotel management. However, recently they have made a big change in their policy, announcing a strategy of "actively buying up Bitcoin as an important asset for the company!" and are attracting a lot of attention. It feels like a challenge for a new era, and it makes you want to support them!
What is the "amazing thing" that MetaPlanet has accomplished?
So let's take a closer look at what exactly "amazing things" MetaPlanet has accomplished!
According to the news, MetaPlanet is nowAn additional 1,112 BitcoinsThe amount spent on this purchase was$1 million! In Japanese yen, it is roughlyApproximately 182 billion yen(Based on an exchange rate of 1 yen to the dollar. Exchange rates change daily, so this is just a guideline.) That's an enormous amount! It's on a scale that's hard to imagine when it comes to personal shopping.
With this additional purchase, MetaPlanet's total Bitcoin holdings will finally reach10,000 BitcoinIt's like the sports team you're rooting for keeps scoring points, and it makes you happy too!
How impressive is it to own 10,000 Bitcoin?
Some people may feel that 10,000 Bitcoins is a little overwhelming. Let's take a look at the key points to understand how impactful this number is.
- The 9th largest holding in the world!Metaplanet holds the largest amount of Bitcoin among publicly listed companies (large companies with a high level of social credibility and whose shares are freely traded).World ranking: 9thThis is really impressive, considering there are so many big companies in the world.
- It has overtaken the well-known company "Coinbase"!: Even more surprising, with this purchase, Metaplanet now holds more Bitcoin than the super-famous American company Coinbase. Coinbase is one of the world's largest exchanges where you can buy and sell crypto assets (digital assets) such as Bitcoin, and can be considered a giant in this industry. The fact that a Japanese company has overtaken this giant is big news for the industry.
- What is the asset value?By the way, how much would 10,000 Bitcoin be worth? It's hard to say because the price of Bitcoin fluctuates greatly every day, but if 1 Bitcoin is worth 1000 million yen, then1000 million JPYThat's an incredible amount! (*Please keep in mind that this is just an example, and the actual price is always subject to change.)
In this way, the fact that a Japanese company has entered the top 10 in the global Bitcoin holdings ranking, overtaking leading companies in the industry, may be a sign that Japanese companies are becoming more proactive towards new digital assets!
What is "Bitcoin" anyway? Let's review!
Let's briefly review what "Bitcoin" is. I think there are many people who have heard the name before, so I'll explain it in an easy-to-understand way.
Bitcoin, roughly speaking, isA new form of money that can be used online" If we look at it in more detail, we can see the following characteristics.
- Not controlled by any particular country or bank：The yen and dollars that we use on a daily basis are issued and their value controlled by the Bank of Japan and the Federal Reserve Board (the equivalent of the Bank of Japan in Japan), which is the central bank of the United States. However, there is no such "central administrator" for Bitcoin.
- It is powered by "blockchain" technology：So who manages it? Well, it uses a special technology called "blockchain." This is a system in which transaction records are shared among many computers and monitored by everyone.Everyone keeps the same household account book and checks each other's accountsSo it's very difficult for one person to cheat or secretly change the records.
- Can be used worldwide: As long as you have an internet connection, you can send and receive money directly from one person to another across borders. Since it doesn't go through a bank, fees can be cheaper and transfers can be faster.
- There is a maximum limit on the number of cards that can be issued.: The total amount of Bitcoins to be issued is set by program at 2100 million. Some people believe that because the number is limited, like gold, it will have a scarcity value and will be an easy way to preserve value.
It may seem a little complicated at first, butBorderless digital money supported by everyoneIt might be easier to understand if you think of it as something like this!
Why are companies buying so much Bitcoin? What are the reasons?
Some people may wonder, "But why would a company buy so many Bitcoins? I've heard that the price fluctuates, so isn't it a bit risky?" There are several possible reasons why a company would hold a large amount of Bitcoin.
- Store of value as "digital gold": Gold has long been considered a safe asset with a relatively stable value, and many countries and people have held it as part of their assets. Bitcoin is also sometimes called "digital gold" because there is a limit to the number of coins that can be issued. More and more companies are choosing Bitcoin to protect the value of their company assets as a measure against inflation (when prices rise and the value of money falls relative to the market).
- High expectations for the future: Bitcoin and its underlying technology, the blockchain, are said to have the potential to dramatically change the future of financial systems and society. The idea is to invest now, taking advantage of the growth and innovation potential. Overseas, well-known companies such as Tesla and MicroStrategy have long been known to hold large amounts of Bitcoin.
- Part of the company strategy: Metaplanet has publicly announced a very bold strategy of making Bitcoin the company's main asset. This may have multiple aims, such as enhancing the company's brand image, exploring new business opportunities, and attracting investor attention.
Of course, Bitcoin also carries the risk of large price fluctuations (high price movements). Therefore, when a company purchases Bitcoin, it should fully understand these risks and make a careful decision in consultation with experts. Metaplanet's recent proactive move is proof that they see great potential in the future of Bitcoin.
A word from the author, John
Wow, this bold move by Metaplanet is really amazing! Seeing a Japanese company so proactively stepping into the new asset class of Bitcoin makes me feel like we are entering a new era, and I am personally very excited about it.
I would be happy if this news would make more people interested in Bitcoin and make them think, "What is Bitcoin?" and "Blockchain seems interesting!" We will continue to provide easy-to-understand information to answer everyone's "I want to know!"
This article is based on the following original articles and is summarized from the author's perspective:
Japan's Metaplanet Hits 10,000 Bitcoin, Overtakes
Coinbase