Metaplanet reveals net income strategy to fuel Bitcoin accumulation

Japanese investment and Bitcoin treasury company Metaplanet introduced a net interest income strategy on Monday, seeking to invest capital in income-generating assets and use the net interest to fuel its Bitcoin accumulation and dividend payments.

The move is part of the company’s revised capital allocation policy under which 10% to 15% of assets can move into strategic investments, including mergers and acquisitions and interest-generating assets.

Bitcoin (BTC) remains the company’s core treasury reserve asset, accounting for 85% to 90% of total assets, Metaplanet revealed in a Monday notice. The decision aims to enhance the Japanese company’s financing capacity and credit quality to grow its BTC holdings per share through additional acquisitions.

The company revealed the fundraising model in the wake of shareholder concerns about Metaplanet’s governance and complex capital structure. On Friday, Metaplanet issued five corrected securities filings clarifying that CEO Simon Gerovich does not hold majority voting rights in MMX Ventures, a shareholder in Metaplanet.

Metaplanet Notice Regarding Further Revision of Capital Allocation Policy. Source: Metaplanet

In response to the corrections, pseudonymous Metaplanet shareholder Bitcoin Pharaoh urged the company to explicitly name who owns MMX Ventures, clarify the 23.8% stake listed to be indirectly held by Gerovich and to name the two unnamed executives who exercised 18.8 million shares from the Series 10 stock option pool.

“Either the indirect holding is his, in which case the deleted sentence was closer to the truth, or it is not, in which case the correction is incomplete,” Bitcoin Pharaoh wrote in a Friday X post. 

Metaplanet stock price, year-to-date chart. Source: Yahoo Finance

Metaplanet’s share price is up more than 5.6% over the past five trading days, trimming some of the now-26% year-to-date decline, according to Yahoo Finance.

Related: Metaplanet explores Bitcoin-backed digital credit with JPYC in Japan

Metaplanet cuts $220 million from Series 10 stock pool following shareholder concerns 

In early September, management drew shareholder criticism for expanding Metaplanet’s Series 10 executive stock option pool almost sevenfold, from 46 million shares to 319.5 million. Metaplanet said it fixed the pool at 319.5 million shares on Aug. 18, but some shareholders called on it to cancel the 273 million additional potential shares created by the expansion. 

On Sept. 11, Metaplanet shared plans to cut the stock pool by 41% by reducing the number of potential shares underlying the rights by 131.3 million, from 319.464 million to 188.19 million, by resetting the conversion ratio from 1:696 to 1:410, the level before its September 2025 international share offering.

The change extinguished over $220 million in warrant value and increased the company’s Bitcoin per fully diluted share by about 8.8%, according to Gerovich.

However, asset manager VanEck argued that much of the shareholder dilution has already occurred despite the stock pool cut, urging Metaplanet to reverse the 273 million additional shares and replace the remaining rights with a shareholder-approved compensation plan, according to a Sept. 18 report.

On Aug. 31, Metaplanet disclosed that Gerovich exercised rights to acquire 92,000 shares under the Series 10 pool. On Aug. 18, the company acknowledged that expanding the pool “amplifies the dilution borne by existing shareholders.” 

Critical mNAV ratio remains at discount

Almost a year ago, Metaplanet saw its enterprise value fall below the value of its Bitcoin holdings.

The company’s market to Bitcoin NAV (mNAV), the ratio between the company’s value and its Bitcoin holdings, dropped below 1 on Oct. 14, 2025, for the first time on record, according to official data.

At Monday’s close in Tokyo, Metaplanet trades at 0.80x its Bitcoin NAV, meaning investors pay $0.80 for every $1 of Bitcoin it owns, according to tracking website Mnav.com.

Metaplanet mNAV, all-time chart. Source: mNAV.com

An mNAV reading below 1 indicates that a company trades at a discount, making it more difficult to raise capital and issue new shares to purchase more cryptocurrency.

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