Japan, as one of the most highly indebted developed countries in the world, has a government debt-to-GDP ratio of around 250%. Long-term deficit financing has led to the continuous weakening of the yen, and this trend has brought unexpected opportunities to companies holding yen-denominated debt.

Take Metaplanet as an example. This Japanese publicly listed company has allocated a large amount of Bitcoin assets while carrying debt with a 4.9% coupon rate. Against the backdrop of the yen's ongoing depreciation, the actual cost of this debt measured in Bitcoin is decreasing year by year. In other words, the yen's depreciation effectively reduces their financing costs for free.

This arbitrage logic is actually quite clear: when you borrow money in a currency that is constantly depreciating and hold assets that are more robust (like Bitcoin), the actual burden of debt gradually lightens. Compared to similar US institutions that need to compete in a high-interest-rate environment, Japan's macro environment has instead become an invisible advantage. Data shows that this trend has become increasingly evident since 2020.