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Metaplanet presses ahead with bitcoin purchase plans as shares slide

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Metaplanet presses ahead with bitcoin purchase plans as shares slide

Simon Gerovich, CEO of Metaplanet (3350), doubled down on the company’s bitcoin buying strategy even as shares in Asia’s largest publicly traded holder of the cryptocurrency fell.

In a Friday post on X, Gerovich said Metaplanet would “steadily continue to accumulate bitcoin, expand revenue and prepare for the next phase of growth.” He thanked shareholders who continued to back the company despite bitcoin’s downward trend: The largest cryptocurrency has lost more than 47% of its value since touching a record high in October and fell 14% on Thursday alone.

Metaplanet’s stock has struggled alongside bitcoin, ending the week at 340 yen ($2.16) after falling roughly 82% from a high of 1,930 yen in June. On Friday, the stock fell 5.6% following bitcoin’s slump after Asian trading hours the day before.

The Tokyo-based company’s “555 Million Plan” aims to reach 100,000 BTC by the end of 2026 and 210,000 BTC by 2027. Its bitcoin holdings have climbed from 1,762 BTC at the end of 2024 to 35,102 BTC now, worth about $2.5 billion at current prices.

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The investment is deep in the red, with an average acquisition cost of about $107,000 per bitcoin, according to its analytics page, and a current price of $66,270. The company has roughly $280 million in outstanding debt, according to the dashboard.

Globally, Metaplanet ranks as the fourth-largest publicly traded holder of bitcoin. Strategy Inc. (MSTR) ranks first with 713,502 BTC, MARA Holdings (MARA) is second with 53,250 BTC and Twenty One Capital (XX1) is third with 43,514 BTC, according to bitcointreasuries.net.

Metaplanet announced Jan. 29 that it planned to raise up to 21 billion yen to fund additional bitcoin purchases and pay down debt. It plans to raise the funds through the sale of 24.53 million new common shares at 499 yen each, along with stock warrants aimed at select investors.

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Oil Rose 3% to Open the Week: Here’s What Moved the Market on Monday

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Oil prices jumped more than 3% on Monday, pushing Brent crude above $116 a barrel. West Texas Intermediate (WTI), the US benchmark, climbed to roughly $102 per barrel.

The latest rise comes as the US-Israel war on Iran entered its fifth week with no signs of abating.

Oil Extends Its War-Fueled Rally 

Several escalatory developments over the weekend fueled the surge. President Donald Trump told the Financial Times he could possibly seize Kharg Island, the terminal that handles roughly 90% of Iran’s crude exports.

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The US president struck a mixed tone on diplomacy with Iran, saying he was “pretty sure” of making a deal with Iran but conceding that talks could still collapse.

Meanwhile, Iran’s parliament speaker warned that Tehran would “set them on fire” when American forces arrived and promised consequences for US-allied nations in the region. 

The oil price surge is far from over, according to market analysts, who warn that the prolonged closure of the Strait of Hormuz could drive crude even higher.

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“A scenario in which the Strait remains closed for an additional month would be consistent with oil prices rising towards $150/bbl and constraints on industrial consumers of energy supply,” Bruce Kasman, global head of economics at JPMorgan, said.

According to Bloomberg, US officials and Wall Street analysts have also begun discussing the possibility of crude reaching $200 per barrel.

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Asian Stocks Tumble, Crypto Feels the Pressure

The energy shock rippled across Asia. Google Finance data showed that Japan’s Nikkei 225 fell over 4.5%, while South Korea’s KOSPI dropped more than 4.3% as import-dependent economies repriced risk.

The volatility has spread to crypto markets, with asset prices dipping early in the morning before rebounding. 

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“The market briefly crashed just now — ETH dropped below $1,940 and BTC fell below $65,000,” Lookonchain reported.

Oil above $100 per barrel continues to pressure risk assets by fueling inflation expectations and delaying anticipated Federal Reserve rate cuts.

The post Oil Rose 3% to Open the Week: Here’s What Moved the Market on Monday appeared first on BeInCrypto.

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Lido DAO Mulls $20M LDO Buyback to Boost Token Price

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Lido DAO Mulls $20M LDO Buyback to Boost Token Price

Lido’s decentralized autonomous organization is considering a one-off $20 million buyback of its governance token to address so-called price dislocation, which is at “historically depressed levels” relative to Ether, according to the DAO. 

The proposal, submitted Friday, seeks permission to swap 10,000 Lido Staked Ether (stETH) tokens, currently worth $20 million from the DAO’s treasury for Lido DAO (LDO), arguing that LDO is undervalued.

“This is not a routine fluctuation. It represents one of the most significant dislocations between LDO’s market price and its underlying protocol fundamentals in the token’s history.”

A token buyback of this size could boost the price of the token, which has fallen roughly 96% from its all-time high. In November, a Lido DAO member pitched an automated buyback mechanism for LDO to improve the token’s price. However, that proposal hasn’t been implemented.

LDO’s change in price relative to ETH since 2024. Source: Lido DAO

Lido DAO pointed out that LDO is trading at a steep discount to Ether (ETH) at a ratio of 0.00016, roughly 63% below its two-year median.

This is despite the protocol holding the top spot of the Ethereum liquid staking market, with a 23.2% share of staked Ether, according to Dune Analytics data. The protocol’s dominance has even been flagged as a centralization risk to the network in previous years.

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Share of Ethereum network validators. Source: Dune Analytics

Related: Ethereum builders propose ‘economic zone’ to tackle L2 fragmentation 

LDO is currently trading at $0.30, down 95.9% from its $7.30 high set in August 2021, according to CoinGecko data. LDO’s $255 million market cap makes it the 141st largest token by value at the time of writing.

“That dislocation is not justified by a proportional deterioration in protocol performance,” Lido DAO said. 

Lido DAO proposes buying stETH in batches

Lido DAO proposed buying up to 10,000 stETH in smaller batches of 1,000 to buy LDO. 

Lido DAO said it would use limit orders or adopt a dollar-cost averaging strategy to avoid market volatility. 

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