K Wave Media, a South Korean group, raises 500 million USD for Bitcoin Treasury, with the ambition to become the "Metaplanet of South Korea," following global companies' footsteps.
The South Korean entertainment and media group K Wave Media has just announced a capital-raising agreement through securities issuance worth up to 500 million USD, aimed at building a cryptocurrency treasury, with a special focus on Bitcoin.
According to the official announcement on June 4, K Wave has reached an agreement with Bitcoin Strategic Reserve KWM to issue common stock worth up to 500 million USD, marking the group's bold move into the digital asset space.
Immediately after this news, K Wave Media's stock listed on Nasdaq recorded an impressive growth of 162%, reaching 5.04 USD per share at the time of announcement.
Mr. Ted Kim, Interim Co-CEO of K Wave Media, said: "Integrating Bitcoin into our core business strategy demonstrates our strong commitment to decentralization, flexible adaptability, and the goal of building long-term value."
The group aims to become the "Metaplanet of South Korea," inspired by the success of Metaplanet Inc., a Japanese company that saw a stock price surge after announcing its Bitcoin reserve strategy, pioneered by MicroStrategy.
The raised capital will be prioritized for building a digital asset treasury with a focus on Bitcoin. K Wave Media plans to allocate most of the raised funds to purchase, hold long-term, and optimize returns from Bitcoin, reflecting strong belief in the long-term potential of the world's largest cryptocurrency. The company also remains open to potentially expanding investments into other cryptocurrencies in the future.
Additionally, K Wave Media will use part of the capital for mergers and acquisitions (M&A), aiming to expand its content business and K-POP related projects.
To enhance its presence in the Bitcoin ecosystem, the company revealed plans to operate Lightning Network nodes and invest in technological infrastructure to promote on-chain transaction development and increase decentralization.
K Wave Media joins the list of global public companies choosing Bitcoin as a corporate reserve asset, a trend that began with MicroStrategy in 2020 and is becoming increasingly popular in Asia, as exemplified by Metaplanet, according to data from Bitcoin Treasuries.
