A Japanese cryptocurrency firm declares Bitcoin to be one of its reserve assets


A prominent Tokyo-based crypto investment business has declared Bitcoin its principal treasury reserve asset.

The Tokyo-based crypto investment and advice business Metaplanet has taken a bold step in the face of Japan’s economic woes by deciding to use Bitcoin as its principal treasury reserve asset.

The firm made a statement on Monday, stating that the current economic problems in Japan, including as large levels of government debt, negative real interest rates for lengthy periods of time, and the weakening of the Yen, were the main reasons for the acceptance of Bitcoin.

Among industrialized nations, Japan’s 254.6% government debt-to-GDP ratio is the highest, and the country is now facing serious economic difficulties, according to the International Monetary Fund.

According to Reuters, the yen has hit its lowest level in 34 years, despite the government’s decision to hike interest rates in March and other measures to address the economic troubles.

A “non-sovereign store of value” that can withstand attacks from fiat currencies, Bitcoin is the central tenet of Metaplanet’s justification.

Bitcoin is apart from conventional fiat currencies and other centralized cryptocurrencies due to its unique monetary policy, which is both irrevocable and limited, with a maximum supply of 21 million coins, according to the business.

In contrast to monetary metals and competing cryptocurrency projects run by centralized development teams, Bitcoin’s monetary policy is fixed until 2140, according to Metaplanet.

Further, the business has shown its aim to use the “whole spectrum” of capital market instruments to fortify its Bitcoin reserves, demonstrating its strategic approach to asset management.

Also Read: Ivo Crnkovic-Rubsamen Assumes the Role of CEO of dYdX When Founder Antonio Juliano Resigns

Leave A Reply

Your email address will not be published.