Beat Holdings, a publicly-listed company on the Tokyo Stock Exchange's Standard Market, has announced an increase in its Bitcoin investment cap from $6.8 million to $34 million. This decision reflects a growing trend among Japanese firms to deepen their exposure to digital assets, mirroring strategies like that of Metaplanet Inc.

The company has already acquired 131,230 units of BlackRock’s iShares Bitcoin Trust (IBIT) at an average price of $49.49 per unit. As of May 9, with IBIT closing at $58.66, Beat Holdings is experiencing an unrealized gain exceeding $681,000.

To finance further Bitcoin investments, Beat Holdings has utilized a $2.8 million (¥400 million) revolving credit facility, anticipating approximately $150,000 in interest expenses through the end of the year. Beat Holdings, based in Hong Kong and incorporated in the Cayman Islands, operates subsidiaries involved in IP licensing and mobile messaging. It initially integrated Bitcoin into its primary treasury reserve assets in February, acquiring Bitcoin both directly and via ETFs like IBIT.

Beat Holdings views this investment strategy as a hedge against inflation, currency debasement, and geopolitical uncertainties. The company believes that expansionary monetary and fiscal policies, often implemented in response to de-globalization and trade wars, can lead to increased liquidity in global financial markets, supporting risk assets such as Bitcoin.

Other companies like Metaplanet Inc. have also adopted Bitcoin as a core treasury reserve asset, holding over 5,500 BTC, valued at over $571 million, with plans to increase holdings to 10,000 BTC by the end of 2025.

Japanese firms' foray into the crypto market mirrors trends observed among U.S. corporations, such as Michael Saylor’s Strategy, which has accumulated over 555,500 BTC worth $57.7 billion.