Metaplanet Has an Edge Over US-Based DATs Due to JPY Weakness: Analyst
An analyst suggests Metaplanet's JPY-denominated liabilities give it a financial advantage over US-based Bitcoin treasuries.Summary
Analyst Adam Livingston posits that Metaplanet, a Bitcoin treasury company, possesses a structural advantage over US-based counterparts due to the persistent weakness of the Japanese yen (JPY). Japan's high debt-to-GDP ratio necessitates continuous yen printing, which erodes its value; Bitcoin, measured in JPY, has appreciated significantly more than when measured in USD since 2020. This weaker yen means Metaplanet's liabilities are denominated in a depreciating currency, effectively lowering the real, BTC-denominated cost of its coupon payments over time, unlike US-based firms whose liabilities are in a stronger currency like the dollar. Despite this structural edge, Metaplanet's stock price has fallen alongside other digital asset treasuries (DATs) amid a broader crypto market downturn. Nevertheless, Metaplanet currently holds 35,102 BTC, ranking it as the fourth-largest Bitcoin treasury company.
(Source：Cointelegraph)