Japanese Energy Firm Converts $59M Cash to Cryptocurrency

TLDR

Remixpoint increased crypto holdings from 68 million to 5.8 billion yen in 9 months, investing primarily in Bitcoin and other major cryptocurrencies
The company has spent 9 billion yen ($59 million) on crypto as part of its cash management strategy
Their stock rose 360% after Trump’s election victory due to expected favorable crypto regulations
Third quarter earnings showed 1.35 billion yen profit with 658 million unrealized crypto gains
The company quadrupled Bitcoin holdings to 125.2 BTC but saw shares drop 15% after earnings report

Japanese energy consulting firm Remixpoint has dramatically increased its cryptocurrency holdings, investing 9 billion yen ($59 million) over nine months as part of an ambitious cash management strategy. The company’s crypto portfolio grew by more than 8,000% between March and December 2024.

The Tokyo-based firm reported holding 5.8 billion yen ($38 million) worth of cryptocurrencies at the end of December 2024, up from just 68 million yen in March. This increase reflects the company’s steady accumulation of digital assets, with Bitcoin making up the largest portion of its holdings.

Remixpoint’s cryptocurrency portfolio now includes 125.2 Bitcoin, along with positions in other major cryptocurrencies including Ethereum, Solana, XRP, and Dogecoin. The company began recognizing valuation gains and losses on these holdings as revenue starting in November 2024.

The third-quarter earnings report revealed a profit of 1.35 billion yen, including an unrealized gain of 658 million yen on its cryptocurrency investments. These results demonstrate the initial success of the company’s crypto strategy, despite recent market volatility.

Donald Trump’s election victory in 2024 played a key role in accelerating Remixpoint’s cryptocurrency investments. The company’s shares surged more than 360% following the election, as markets anticipated a more favorable regulatory environment for digital assets under a Trump administration.

Energy Firm Converts $59M to Digital Assets

While primarily focused on energy consulting services, Remixpoint has expanded its business model to include cryptocurrency transaction services. This move mirrors the strategy of other Japanese firms, such as Metaplanet, which saw its stock price increase dramatically after announcing a Bitcoin investment program in April 2024.

The company’s approach to cryptocurrency investment appears to be part of a broader strategy to hedge against the depreciation of the Japanese yen. This mirrors similar moves by other corporations seeking to diversify their treasury holdings beyond traditional currencies.

As of the most recent report, Remixpoint has nearly reached its target of 10 billion yen ($65 million) in cryptocurrency investments. The company continues to maintain its purchasing strategy despite market fluctuations and price volatility.

The firm’s latest earnings presentation detailed the extent of its crypto holdings but did not disclose the current market value of its portfolio. This information gap reflects the dynamic nature of cryptocurrency markets and the challenges in reporting real-time valuations.

Market reaction to Remixpoint’s strategy has been mixed. While the company’s shares saw substantial gains following Trump’s election, they experienced a 15% decline after the release of third-quarter earnings, compared to a 0.79% drop in the broader Nikkei 225 index.

The company’s investment timeline shows a steady increase in cryptocurrency accumulation throughout 2024. The most substantial growth occurred in the latter part of the year, coinciding with broader market momentum in the crypto sector.

Remixpoint’s decision to recognize cryptocurrency gains and losses as revenue marks a shift in its financial reporting approach. This change provides greater transparency into how digital asset holdings affect the company’s bottom line.

The energy consulting firm’s move into cryptocurrency represents one of the largest corporate investments in digital assets by a Japanese company. The scale of investment places Remixpoint among a growing number of publicly traded companies holding substantial cryptocurrency reserves.

Recent trading activity shows Remixpoint has maintained its purchasing strategy even as crypto markets experienced volatility. The company’s latest financial statements indicate continued execution of its planned investment targets.

The most recent data shows Remixpoint’s shares fell 15% in Friday trading, while their cryptocurrency holdings reached 5.8 billion yen by the end of December 2024.