The digital asset market is bracing for impact as one of its most prominent treasury holders begins a massive retreat. On Tuesday, Metaplanet stock dropped 2% (JP:3350) following news that Nakamoto, the firm led by David Bailey, sold $20 million in Bitcoin (BTC-USD) and slashed its stake in the Japanese investment giant at a significant loss.
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Nakamoto Sells Crypto Assets
The primary cause of the market jitters is Nakamoto’s decision to offload a portion of its digital wealth. The company sold roughly 284 Bitcoin in March at an average price of $70,400 per coin. This sale represents a nearly 20% discount compared to how the firm valued its holdings just a few months ago, suggesting an urgent need for cash to cover costs from recent mergers.
Following this move, Nakamoto’s remaining stockpile sits at roughly 5,058 BTC. While the firm still holds a massive amount of digital gold, the decision to sell at a loss has spooked investors. The company stated in a filing that the proceeds will help replenish working capital and support its new focus on integrating BTC Inc and UTXO Management.
Bailey Exits Metaplanet Position
Aside from Nakamoto’s Bitcoin sale, the company is walking away from its partnership with Metaplanet. The firm originally spent $30 million to acquire eight million shares in the Japanese company. However, during the first quarter, Nakamoto sold five million of those shares for just $11.1 million, essentially exiting the position at a steep loss.
The firm is locking in those losses to simplify its balance sheet as it moves away from its original business model. This exit has put immediate pressure on the market, causing the recent 2% drop in Metaplanet’s price. Nakamoto reported that the value of its investment had already been marked down at the end of last year. Selling now allows the company to clean up its books while shifting focus.
Nakamoto’s Leadership Cuts Healthcare Ties
The restructuring goes beyond just selling stocks and coins. Chairman David Bailey confirmed that Nakamoto plans to wind down its legacy healthcare operations entirely. This is a total shift for the company formerly known as KindlyMD, which has seen its own shares fall by 80% over the last six months.
The company is currently fighting to stay on the Nasdaq (NDAQ) after receiving a notice that its shares fell below the $1 minimum requirement. Cutting the healthcare dead weight allows Bailey to try and save the firm by focusing purely on Bitcoin-related acquisitions.
At the time of writing, Bitcoin’s price is sitting at $66,866.30.
