As Asia’s top Bitcoin treasury company pushes ahead with its plan of purchasing 21,000 BTC, the Japanese investment firm Metaplanet has set a Bitcoin premium per coin at almost $600,000
Metaplanet’s Stockholders pay a premium of more than 5 times on Bitcoin (BTCAccording to A report The May 27 edition of 10x Research included the following:
“A little-known Japanese stock trades as if Bitcoin were worth $596,154, more than five times its actual price.”
Investors may not be aware of the value of the net asset value. “dramatically overpaying for their Bitcoin exposure,” The report said that investors should avoid taking a position which does not provide any additional upside.
NAV stands for the unit price of an investment fund. This is calculated by dividing total assets less liabilities divided by number of outstanding shares.
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As entities who are leading the way, Bitcoin Treasury firms such as Metaplanet and Strategy, despite their significant premiums, are crucial for Bitcoin’s mass adoption. “global hyperbitcoinization,” Adam Back, the co-founder of Blockstream, and inventor of Hashcash, believes that there is a $200 trillion potential market.
Metaplanet, Asia’s and the World’s 10th largest corporate Bitcoin holders, has over 7,800 BTC valued at $855 Million, which represents 0.037% the total supply. Bitbo Data shows
This report is almost two weeks old. Metaplanet purchased Cointelegraph reports that on May 19 it purchased 1,004 BTC worth $104.6 Million, its second largest investment.
Markus Thielen is the CEO of 10x Research. He also heads up its research department.
“Retail is only like 7% of the Bitcoin market, and that peaked toward December 2023,” Thielen said to Cointelegraph. “tuned out” Bitcoin was first worth $45,000, the cost average of a brand new vehicle in the US.
Related: Bitcoin’s new highs may have been driven by Japan bond market crisis
Due to lack of knowledge, investors are forced to pay a premium for Bitcoin
Bitcoin Treasuries are trading with significant marksups in comparison to the spot Bitcoin rates.
Michael Saylor’s Strategy Bitcoin is currently being traded at a implied price of $174.100. “isn’t extreme but still significant,” I wrote a report and then added:
“Every time MicroStrategy issues new shares to retail investors—shares backed by Bitcoin worth only a fraction of the stock price—the company pockets the difference and frames it as Bitcoin yield.”
Existing shareholders “cheer this on,” Over time, this could erode NAV. “borne entirely by the new shareholders,” Report by 10X Research.
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Source: cointelegraph.com
