In a recent announcement, Tokyo-based investment firm Metaplanet reported that it achieved an impressive 116% yield in October from its Bitcoin acquisitions. This marks a significant increase from the 41.7% yield recorded from July through September. The firm attributed this surge to a substantial expansion of its Bitcoin portfolio, which more than doubled in size compared to the previous quarter. In October alone, Metaplanet acquired over 450 BTC, bringing its total holdings to 855.5 BTC, currently valued at over $56.1 million.
On October 25, Metaplanet also introduced its new metric, “BTC Yield,” as part of its key performance indicators (KPIs) to evaluate its Bitcoin investments. Inspired by MicroStrategy, a major corporate Bitcoin holder, this metric calculates the percentage change in the ratio of total Bitcoin holdings to fully diluted shares. Metaplanet plans to provide regular updates on this metric along with its future Bitcoin purchases, reporting quarterly and year-to-date figures on total holdings, issued shares, and Bitcoin per fully diluted share.
CEO Simon Gerovich emphasized that this reporting method aims to enhance transparency for investors and help them understand how Bitcoin investments can potentially increase 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.”
However, Metaplanet acknowledged the limitations of the BTC Yield metric, noting that it does not take into account the company’s debts or liabilities. Additionally, it does not provide a comprehensive view of historical or potential future returns for shareholders. The firm clarified that BTC Yield does not represent operational income, Bitcoin investment returns, or other traditional financial performance metrics.