Japan’s Kitabo Joins Growing List of Asian Firms Turning to Bitcoin Amid Financial Strain

A century-old Japanese textile company has become the latest financially battered firm to turn to Bitcoin as a treasury asset, announcing plans to purchase up to $5.4 million (800 million yen) in crypto to stabilize its bottom line after years of losses and muted cash flow.

Kitabo Co., Ltd., a Tokyo Stock Exchange-listed textile manufacturer that produces synthetic fibers and industrial materials, announced in a statement on Tuesday that it will begin gradually acquiring Bitcoin using dollar-cost averaging starting this month. 

The move marks the company’s full-scale entry into the “cryptocurrency and real-world asset business,” it said.

Kitabo is now among a growing roster of Asian corporations adopting Bitcoin treasury strategies, as traditional companies increasingly view the digital asset as a hedge against monetary debasement and a foundation for international business operations.

“To add Bitcoin to its balance sheet is a powerful testament to this trend’s expansion beyond the tech sector,” HashKey Group chief analyst Jeffrey Ding told Decrypt.

Kitabo Co. reported a 24.7% year-over-year increase in revenue for fiscal 2025, but still ended the year with a net loss of $379,357 (¥55.8 million) and negative operating cash flow of $52,348 (¥7.7 million). 

This followed an even steeper loss of $785,000 (¥115.6 million) in fiscal 2024, when the company relied on one-time gains to offset weak core performance. 

Hoping to shore up those losses, Kitabo plans to acquire Bitcoin through domestic crypto exchanges using funds raised from its Fourth Series of Stock Acquisition Rights. 

The company also intends to use the crypto for “cross-border services, including partnerships with various overseas businesses,” positioning Bitcoin as a “foundational asset for promoting diverse business strategies.”

Kitabo Co. plans to generate yield on its Bitcoin holdings by lending portions to crypto lending companies for stable returns, it said.

While the trend is barely new, industry experts view the move as indicative of a broader corporate awakening to Bitcoin’s potential as a treasury asset. 

“Historically, cash and cash equivalents formed the bulk of corporate treasuries,” Zakhil Suresh CMT, founder & CEO at crypto asset manager BitSave, told Decrypt. “But now, more and more companies are waking up to the idea that cash is no longer safe.”

“This isn’t about chasing returns—it’s about protecting the purchasing power of the company in a world of constant monetary expansion,” Suresh added.

The corporate Bitcoin adoption trend has gained momentum across Asia, with Metaplanet leading the charge as Japan’s most prominent corporate Bitcoin holder. With 16,352 BTC worth approximately $1.95 billion, Metaplanet ranks seventh globally, according to Bitcoin Treasuries data.

Kitabo Co. is trading at $1.52 (¥237.00) per Google Finance data, up 0.85% on the day and more than 100% from its 52-week low.