Convano Announces New 'Shin Convano 21,000 Bitcoin Financial Supplement Plan'

Convano Unveils the New 'Shin Convano 21,000 Bitcoin Financial Supplement Plan'

In a significant decision made by the board of Convano Inc., headquartered in Shibuya, Tokyo and led by CEO Akiyo Kamishiro, the company has developed a new strategy named 'Shin Convano 21,000 Bitcoin Financial Supplement Plan'. This venture will be pursued through the newly authorized 'Bitcoin Asset Strategy Office', which is empowered to determine new business initiatives related to cryptocurrency.

Updating the Strategic Vision

The key focus of this plan is to bolster Convano's existing objective to hold 21,000 Bitcoins (BTC), equivalent to 0.10% of their cap by March 2027, by adapting and enhancing their previous methodologies. The strategy emphasizes not only the mere holding of Bitcoins but introduces proactive management techniques including options trading and proprietary dealings. This redefined approach identifies BTC as both a 'financial reserve asset' and as a 'source of sustainable cash flow', targeting the reinforcement of the financial foundation and the maximization of revenue opportunities.

Background and Goals for Change

Under this new plan, Convano is looking to allocate 100% of its Bitcoin reserves for active management to achieve revenue growth through options trading and dealing. The intention is to leverage volatility actively, aiming to maximize risk-adjusted returns.

Additionally, Convano plans to establish a new subsidiary in the Virgin Islands to strengthen its international execution system, set to be operational by November 2025. The company will integrate physical and derivative BTC management, implementing strategies such as covered calls and cash-secured puts for effective operations.

Operational Guidelines

Convano will adopt various option strategies tailored to market conditions, including calendar trades, spreads, and collar protections. The company aims to create opportunities for spread revenues through dealings on major exchanges and the OTC markets. Rigorous risk management will be enforced, utilizing Greeks, Value at Risk (VaR), and stressed VaR analyzes to prepare for sudden volatility challenges.

Funding Structure

The company's funding approach is engineered to curb stock dilution while undertaking phased funding initiatives. Convano plans for a funding split where 50% will be from bonds underwritten by NASDAQ listed companies and domestic investment firms, and 50% from capital participation via the third-party allocation of new shares. This arrangement anticipates substantial frameworks in the hundreds of billions of yen range, designed to enhance credibility in the international capital market.

Financial Impact

Convano's strategy is focused on stabilizing cash flow through the acquisition of physical BTC, option revenues, and trading income. This will afford greater elasticity in equity capital, fostering long-term growth in earnings per share (EPS). The widening reach to global institutional investors is expected to enhance their credibility and overall presence in the market.

Future Outlook

It is essential to note that the targets and forecasts outlined in this plan are based on simulations at this time and are subject to fluctuations depending on BTC prices, foreign exchange rates, regulatory changes, and macroeconomic trends. The company promises to promptly disclose any material impacts that may arise.

About Convano Inc.

Operated under the mission of 'Creating New Value and Expanding Opportunities,' Convano Inc. manages a nail service chain under the FASTNAIL brand throughout Japan. They utilize expertise in digital marketing and AI systems development to expand their business within the beauty and lifestyle sectors. With plans to fully enter the WEB3 infrastructure space, Convano aspires to establish its position as the next-generation platformer originating from Japan.

Business Operations: Management of the nail service chain 'FASTNAIL', franchise management, development and sale of various products, new business system development, and media operation 'femedia'.
Corporate Website: https://convano.com/