U.S. Capital Group takes largest stake in Bitcoin treasury firm Metaplanet

Institutional capital is making a bold entry into Bitcoin treasuries with one of America’s investment giants, Capital Group, taking center stage in Metaplanet.

Summary

• Capital Group acquires an 11.45% stake in Bitcoin-focused Metaplanet, valued near $500 million.
• Metaplanet has continued to boost its Bitcoin, now holding about 26,000 BTC after buying 5,419 BTC recently.
• Capital Group has been expanding its crypto exposure via equity stakes while avoiding direct Bitcoin holdings.

Capital Group has taken an 11.45% stake in Japanese Bitcoin treasury firm Metaplanet, becoming its largest shareholder. The Tokyo-based company announced the development in an official disclosure on September 25.

Capital Group’s stake is valued at nearly $500 million and was acquired through its subsidiary, Capital Research and Management Company. With this move, the investment giant has increased its voting rights from 8.31% to 11.45%, overtaking National Financial Services LLC as the top shareholder.

This development comes as Metaplanet continues to advance its Bitcoin (BTC) bet, including recently boosting its holdings with its latest purchase of 5,419 BTC worth about $633 million. Metaplanet now holds roughly 25,500 BTC in its portfolio, placing it among the five largest corporate Bitcoin treasuries worldwide.

Capital Group deepens Bitcoin bid with Metaplanet

Over the last several years, Capital Group has steadily expanded its exposure to Bitcoin and related assets, with its largest related investment being a stake in Strategy, the largest public holder of BTC. In 2021, the firm acquired a 12.3% stake in Strategy for more than $500 million. That position, now at 7.89%  is now valued at approximately $6.2 billion following a multi-year bull run in MicroStrategy’s stock.

The U.S.-based investment firm recognized for its conservative approach to asset allocation has a 94-year history and more than $2.3 trillion in assets under management. 

Capital Group does not currently hold bitcoin directly on its own balance sheet, nor does it offer its own BTC exchange-traded fund. Instead, its strategy centers on leveraging its equity stakes in companies with large corporate treasuries in BTC as a means to participate in bitcoin’s adoption as an institutional asset class.

Bitcoin is trading near $111,000 at press time, down 4.5% on the week as the broader crypto market struggles to maintain momentum.