Bitcoin Japan raises $60M but allocates just 7% to Bitcoin purchases

The Tokyo-listed firm's long-awaited Bitcoin treasury purchase will amount to just $4 million of the $60 million it raised, with the rest going to private equity and rare earth mining.

Bitcoin Japan Corp. raised 9.66 billion yen ($59.5 million) through convertible bonds, earmarking just 662 million yen — about 7% — for its first Bitcoin acquisition.

"The company intends to deploy the Bitcoin allocation selectively depending on market conditions," Bitcoin Japan said in a filing cited by local media outlet CoinPost, adding that no purchase timeline or accumulation target has been set.

The largest portion of proceeds, 3.756 billion yen, will go to undisclosed private equity investments. Another 3.503 billion yen is allocated to rare earth mining projects in South Africa, while 1.446 billion yen targets a Robot-as-a-Service business. The remaining 290 million yen covers working capital. The financing, structured through Cayman Islands-based EVO FUND, includes 1.5 billion yen in unsecured convertible bonds and a separate series of stock acquisition rights.

Full conversion of the securities at minimum pricing would dilute existing shareholders by as much as 110%, or 115% on a voting-rights basis, according to company filings. The dilution risk and modest Bitcoin allocation disappointed investors who had expected a more aggressive treasury strategy after the company rebranded from textile trader Horita Marusho in 2024.

The capital raise follows a failed attempt in December 2025, when Bitcoin Japan sought up to 5.715 billion yen including 988 million yen for Bitcoin. Weak share price performance limited actual proceeds to 3.095 billion yen, leaving no funds for cryptocurrency purchases.

The company has yet to acquire any Bitcoin despite adopting its current name and announcing plans to transition into a digital asset treasury operation centered on Bitcoin and AI infrastructure. For the fiscal year ending March 2026, Bitcoin Japan reported consolidated revenue of 2.959 billion yen and an operating loss of 462 million yen — its eighth consecutive year of operating losses.

The modest Bitcoin allocation stands in contrast to the playbook of MicroStrategy Inc., which has accumulated over 200,000 BTC through convertible note offerings that dedicated the bulk of proceeds to Bitcoin purchases. Bitcoin Japan's diversified allocation — spanning private equity, rare earth mining, and robotics — suggests a broader holding company strategy rather than a pure Bitcoin treasury model.

In May, the company disclosed an investment in SpaceX through its wholly owned U.S. subsidiary BTCJPN US LLC, further signaling a multi-sector investment approach beyond digital assets.

This article is for informational purposes only and does not constitute investment advice.