Key Highlights:
- Remixpoint committed 9 billion yen (approximately $59 million) to cryptocurrency, focusing mainly on bitcoin, as part of its strategy to manage cash effectively.
- The firm’s share price soared following Donald Trump’s presidential election victory, which brought about a favorable outlook for cryptocurrency regulation.
- On Friday, however, shares dropped after the company announced its third-quarter earnings.
Remixpoint, identified with the stock code 3825, has seen its cryptocurrency reserves swell by over 8,000% in just nine months ending December 31, moving toward a funding target of 10 billion yen ($65 million).
As of year-end, Remixpoint reported holdings of 5.8 billion yen ($38 million) in cryptocurrency, up from just 68 million yen in March. The latest earnings presentation disclosed total spending of 9 billion yen on crypto without revealing its current portfolio value.
While primarily an energy consultancy, Remixpoint has branched out into cryptocurrency transaction services, using bitcoin as a hedge against the depreciation of the Japanese yen, similar to the strategy deployed by Metaplanet, a Japanese investment firm noted for its substantial bitcoin investments.
Investment Breakdown:
- The principal allocation went towards bitcoin, with additional investments in ether (ETH), SOL, XRP, and dogecoin (DOGE).
- The firm reported a profit of 1.35 billion yen, with unrealized gains of 658 million yen on its crypto investments. Starting November 2024, Remixpoint began accounting for these valuation changes in their revenue streams.
Since Trump’s electoral victory, Remixpoint’s share price has increased by over 360%. The company has intensified its bitcoin purchases, quadrupling its holdings to an impressive 125.2 BTC.
Despite a recent 15% drop in shares on Friday, the broader Nikkei 225 index only fell by 0.79%.
