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\n\t\t\t\t\t\t\t\t\tWith Bitcoin below its average buy price and stock at a discount to net BTC, Metaplanet is challenging how listed firms hold crypto.\t\t\t\t\t\t\t\t<\/p>\n<\/p><\/div>\n
Metaplanet Inc., the once-obscure Tokyo hotel operator turned Bitcoin (BTC) accumulator, is entering a decisive four-week stretch that could redefine how listed companies handle crypto on their balance sheets.<\/p>\n
According to analyst Shanaka Anslem Perera, the firm now sits on a paper loss of around $651 million from its 30,823 BTC bet, even as it posts record profits and prepares a complex preferred-share deal that will test whether this model can actually survive a drawn-out Bitcoin downturn.<\/p>\n
Perera presented<\/a> Metaplanet\u2019s complex financial picture in a November 25 blog post. He noted that the company acquired its Bitcoin position at an average price of $108,036 per BTC, but with the cryptocurrency trading around $87,500 as of November 26, the unrealized loss has reached $651 million. This has contributed to an 81% decline in the company\u2019s stock price since June.<\/p>\n However, its financial statements tell a very different story: revenue is up 1,700% year-on-year to \u00a54.3 billion and net income hit \u00a513.5 billion for the fiscal year through September.<\/p>\n According to Perera, Metaplanet\u2019s strategy relies on what he calls reflexivity. When Bitcoin\u2019s price increases and the company\u2019s stock trades at a premium, it can issue equity to buy more BTC, creating a virtuous cycle.<\/p>\n But this mechanism broke when the stock began trading below the value of the firm\u2019s Bitcoin holdings, pushing its multiple-to-net-asset-value (mNAV) down to 0.88 in late November and making equity issuance destructive to existing shareholders.<\/p>\n To keep raising capital without crushing the stock, the firm launched<\/a> a perpetual preferred equity instrument called \u201cMERCURY\u201d on November 20, with a 4.9% dividend and a \u00a51,000 conversion price. A shareholder vote on December 22 will decide whether roughly \u00a521.25 billion of that capital goes live.<\/p>\n Metaplanet\u2019s gamble is playing out against a tough backdrop in both Japan and the wider crypto market.<\/p>\n Bitcoin only recently rebounded<\/a> from a dip below $81,000 and is struggling to break out above the high-$80,000s, with on-chain and derivatives data still pointing to heavy unrealized losses and ongoing whale selling.<\/p>\n Domestically, regulators are watching closely. The Tokyo Stock Exchange operator has signaled possible tighter rules for firms that pivot into digital-asset treasury strategies, after several smaller players were warned off similar moves this autumn.<\/p>\n Metaplanet\u2019s management insists it followed proper governance and shareholder approval processes, casting itself as the \u201cresponsible\u201d version of the model.\u00a0Additionally, the Bank of Japan has shifted away from ultra-cheap money, lifting interest rates to 0.5%, the highest in years, and allowing government bond yields to climb.<\/p>\n That has complicated the original thesis that Japanese savers, squeezed by negative real returns and a weak yen, would chase BTC exposure through Metaplanet stock.\u00a0Whether that narrative holds will depend on three converging forces over the next month: the MERCURY vote, Bitcoin\u2019s year-end price action, and how far Japanese regulators go.<\/p>\nYou may also like:<\/h3>\n
A Test Case for Corporate BTC Risk in a Shaky Market<\/h2>\n
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