Metaplanet explores bringing bitcoin-backed digital credit to Japan
Tokyo-based Metaplanet is exploring the creation of bitcoin-backed digital credit instruments to help mid-sized companies access debt markets. The company is collaborating with several financial firms to study the feasibility of these products in Japan.
Why it matters
This represents a potential shift in how corporate debt is managed by integrating blockchain technology with traditional capital markets.
The Tokyo-based company said it is studying whether bitcoin could be used as collateral for credit instruments with daily interest accrual, a market it says exists in the U.S., but not Japan. Digitization would allow 24/7/365 trading and settlement of the instruments, it said in a Friday statement .
Bitcoin-backed credit is an emerging product using BTC as the core collateral for debt offerings. The market is driven mainly by public companies that hold bitcoin and use it to create products that pay dividends or interest, turning the idle coin stash into a cash-generating instrument.
The study group will also include Siiibo Securities — which it bought for 2.1 billion yen ($13 billion) last month — JPYC, the yen stablecoin issuer, and Progmat, a regulated security tokens platform. Siiibo will be renamed Metaplanet Securities on July 13.
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