Tokyo-based investment firm Metaplanet has recently reported a significant increase in Bitcoin yield for its shareholders. According to a statement released on Oct. 25, the company saw a 116% yield this month, a sharp rise from the 41.7% yield recorded in the previous quarter.
This surge in yield can be attributed to Metaplanet’s substantial increase in Bitcoin holdings, which more than doubled compared to the previous quarter. The firm acquired over 450 BTC in October alone, bringing its total holdings to 855.5 BTC, valued at over $56.1 million.
In a move inspired by MicroStrategy, Metaplanet introduced the “BTC Yield” as an official key performance indicator (KPI). This metric calculates the percentage change in the ratio between total Bitcoin holdings and fully diluted shares. The company plans to provide regular updates on BTC Yield with future Bitcoin purchases, updating shareholders on total Bitcoin holdings, issued shares, and Bitcoin per fully diluted share.
Metaplanet’s CEO, Simon Gerovich, emphasized that the BTC Yield metric aims to provide investors with a better understanding of how Bitcoin acquisitions can enhance shareholder value. He stated, “This KPI, pioneered by MicroStrategy, will help investors better understand how Metaplanet’s approach to acquiring Bitcoin using equity capital is accretive to shareholders.”
It is important to note that BTC Yield has its limitations, as it does not account for debt, liabilities, historical or future returns from shares, operational income, Bitcoin investment returns, or other financial performance metrics.
Overall, Metaplanet’s success in Bitcoin investments highlights the potential for cryptocurrency to drive positive returns for shareholders. The company’s commitment to transparency and innovative metrics like BTC Yield demonstrates its dedication to providing valuable insights to investors.