Metaplanet Dey Back SGA Takeover for Bitcoin Reserve Strategy
Metaplanet CEO Simon Gerovich and one Hong Kong-led crew, wey include Top Win International, KCGI and UTXO Management, go buy KOSDAQ-listed software firm SGA for about $25 million. The deal, wey SGA board and Korea Financial Services Commission approve, dey issue 58.86 million new shares and add Bitcoin reserve strategy join the current SGA operations. This Bitcoin reserve strategy follow MicroStrategy style, dey raise money by zero-coupon convertible bonds or equity to buy big BTC. Since April 2024, Metaplanet don buy 797 BTC at around $117,451 each, increase their holdings to 16,352 BTC. Them aim make dem hold about 1% of the total global Bitcoin (≈210,000 BTC) by 2027. If regulator approve finally, this corporate Bitcoin reserve strategy fit make BTC demand long-term, boost market confidence, but if BTC price fall, debt and dilution risks go high.
Bullish
Di konsɔtiɔm plan to put Bitcoin reserve strategy for one public company body and their to di disciplined BTC accumulate dey support long-term demand and market confidence for Bitcoin. Di MicroStrategy style way dey show say institution don adopt am, wey traditionally dey push price rise. Even though debt-servicing and share dilution risks dey cause short-term sell pressure, di overall trend dey show increase corporate demand and price support for BTC.