Kitabo Allocates $5.4M to Bitcoin Treasury Strategy
Japanese textile firm Kitabo Co., Ltd has launched a Bitcoin treasury strategy by allocating ¥800 million (US$5.4 million) to BTC via dollar-cost averaging. The move aims to stabilize finances after a ¥115.6 million net loss in fiscal 2024, hedge against yen devaluation and diversify treasury reserves.
Funded through its fourth Series of Stock Acquisition Rights, Kitabo plans to deploy Bitcoin for cross-border partnerships, overseas services and generate yield by lending holdings on crypto platforms. This follows similar initiatives at Metaplanet and Nexon.
Kitabo’s Bitcoin treasury strategy highlights growing corporate adoption in Japan. Traders should monitor potential Bitcoin demand spikes and price support, influencing both short-term trading and long-term value retention.
Bullish
Kitabo’s decision to allocate $5.4 million to a Bitcoin treasury strategy signals increased institutional demand, which can create upward price pressure. In the short term, the steady dollar-cost averaging approach smooths market impact while boosting consistent buying, likely supporting Bitcoin’s price floor. Over the longer term, broader corporate adoption—mirrored by firms like Metaplanet and Nexon—enhances Bitcoin’s role as a hedge and reserve asset, attracting further institutional investors. This growing acceptance reduces volatility and promotes price stability, reinforcing a bullish outlook for BTC.