• Bitcoin Holder Metaplanet Sells BTC Options to Boost Coin Stash
• The company strengthens its bitcoin position with a strategic options sale, generating nearly 24 BTC ($1.44M) in premium
• Metaplanet is a bitcoin holder that sells options to generate yield on its BTC holdings
Bitcoin holder Metaplanet has strengthened its bitcoin position by selling BTC options, generating nearly 24 BTC ($1.44M) in premiums. The company’s options sale showcases strategic thinking to boost its 32M BTC holdings.
Details of the Options Sale
Metaplanet sold the options last Friday, taking advantage of bitcoin’s price rally past $60,000. The sale involved put options that gave the buyers the right to sell bitcoin at $58,000 per BTC in December.
Metaplanet earned premiums totaling 23.66 BTC, worth around $1.44 million. If bitcoin stays above $58,000, the options will expire worthless and Metaplanet gets to keep the premiums.
Metaplanet’s Bitcoin Holdings
Metaplanet currently holds over 32,000 BTC acquired at an average price of $7,500 per bitcoin. This means the company is sitting on paper profits of over $1.3 billion at bitcoin’s current price.
The options sale generated additional income while allowing Metaplanet to keep its bitcoin. Metaplanet can continue selling options to earn premiums until it’s ready to sell its bitcoin.
Benefits of the Options Sale
Metaplanet’s options sale showcases savvy thinking. The company strengthened its bitcoin position without spending any BTC. It also generated sizable income from premiums.
If bitcoin stays above $58,000, Metaplanet won’t lose any coins. And if bitcoin drops below $58,000, the company can buy back the options. Either way, Metaplanet wins.
The options sale demonstrates strategic thinking by a bitcoin holder with significant holdings. Rather than actively trading its bitcoin, Metaplanet is earning income from options while retaining its BTC stash.
Conclusion
Metaplanet’s options sale generated nearly $1.5 million in income while allowing the company to keep its bitcoin holdings intact. The strategic sale showcases intelligent thinking from a major bitcoin holder seeking to maximize returns on its holdings. Other bitcoin holders will likely take note and consider similar options and strategies.
