Metaplanet Announces ¥75B ($500M) Bitcoin-Backed Share Buyback
Alex Morgan
October 25, 2025
“We view bitcoin as productive collateral that can help us close the value gap for shareholders,” CEO Naoki Kuga told analysts on a conference call.
Inside the ¥75B Repurchase Plan
Metaplanet’s board approved the year-long buyback, authorizing the purchase of up to 150 million shares—roughly 13% of outstanding equity—between October 29, 2025 and October 28, 2026. The company said it will operate the program through open-market purchases, with discretion to execute block trades when liquidity permits. Management plans to retire the repurchased shares, reducing float and potentially lifting earnings per share in fiscal 2026.
The move comes after months of shareholder pressure to address a persistent discount to the firm’s reported net asset value. Metaplanet’s stock closed Thursday at ¥412, implying a 24% haircut to book value, even as bitcoin holdings swelled alongside the crypto rally.
How Metaplanet Is Funding the Deal
To finance the repurchase, Metaplanet arranged a $500 million credit facility with a syndicate of Japanese banks, pledging 11,200 BTC from its treasury as collateral. Executives said the loan carries a floating rate capped at 6.1%, with quarterly re-margining tied to bitcoin’s 30-day moving average. Should BTC rally beyond ¥20 million per coin, the company plans to draw down additional tranches to accelerate buybacks.
Structuring the facility around bitcoin rather than fiat assets echoes treasury strategies seen in North America, where corporates have tapped digital collateral for growth initiatives. Observers noted similarities to strategies discussed in our coverage of Texas’s state-level reserve play and the ongoing debate over federal bitcoin reserves.
Why Management Pulled the Trigger Now
Executives said the board wanted to capitalize on favorable credit conditions while demonstrating conviction in bitcoin as a long-term treasury asset. The company projects that repurchases will offset dilution from prior convertible debt deals and provide flexibility to pursue tuck-in acquisitions in its digital infrastructure segment.
Analysts view the move as a signal to the market that Metaplanet intends to compete with global peers like MicroStrategy for investor attention. The firm’s decision to pledge BTC rather than sell it underscores confidence that bitcoin’s appreciation will outpace borrowing costs over the next year.
Market Reaction and Peer Comparisons
Shares of Metaplanet jumped 11% in Tokyo trading, with the stock briefly touching ¥458 before settling just below ¥450. Derivatives desks said call volume tripled as traders speculated on additional corporate actions, including a potential dividend reinstatement once the buyback is underway.
Corporate finance analysts pointed to the increasing interplay between bitcoin holdings and capital allocation decisions. They expect other crypto-heavy firms in Asia to evaluate similar facilities, particularly if lending spreads remain tight and bitcoin volatility stays manageable.
What Comes Next
Metaplanet said it will publish monthly progress reports detailing the pace of repurchases and loan balances. Governance committees are reviewing whether to establish hedging policies to protect collateral during market drawdowns, though executives said current balance sheet reserves are sufficient for a 35% BTC drawdown.
The buyback program positions the company as a bellwether for how traditional capital markets respond to bitcoin-backed financing. If successful, the playbook could encourage more corporates to harness crypto reserves for shareholder returns while preserving exposure to the asset class’s upside.