Key Takeaways
- Metaplanet’s ¥102.2 billion (~$660 million) loss reflects a year-end mark-to-market accounting adjustment under Japanese rules.
- To reach 210,000 BTC by 2027, Metaplanet must acquire roughly 175,000 additional Bitcoin.
- Metaplanet’s approach mirrors Strategy’s leveraged Bitcoin accumulation model.
Japan-listed Bitcoin treasury firm Metaplanet is doubling down on its massive Bitcoin bet, even after reporting more than $600 million in unrealized BTC valuation losses for FY2025.
The company says it’s still on track to accumulate 1% of Bitcoin’s total supply by 2027, a target that would require buying roughly 175,000 more BTC over the next two years.
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Metaplanet’s Bitcoin Losses
Metaplanet said it posted revenue of 8.905 billion yen ($58 million), up 738% year-on-year, and operating profit of 6.287 billion yen, up 1,694%, according to its earnings report.
The company held 35,102 Bitcoins as of Dec. 31, 2025, up sharply from 1,762 a year earlier.
However, it recorded an unrealized valuation loss of about 102.2 billion yen ($660 million) tied to Bitcoin’s year-end market price.
The loss reflected the market value of its Bitcoin holdings at the end of the fiscal year, rather than the value of coins sold at a loss.
Under Japanese accounting standards, companies must mark crypto assets to market, resulting in paper gains or losses based on year-end prices.
The company did not disclose any large-scale Bitcoin sales tied to the valuation adjustment.
Feasibility of the 1% Target
To reach its stated goal of holding 1% of Bitcoin’s fixed 21 million supply, or roughly 210,000 BTC, Metaplanet would need to acquire about 175,000 additional tokens at current levels.
At recent market prices, that would imply tens of billions of dollars in additional purchases, requiring sustained access to capital markets.
While executives say recurring revenue can support preferred issuance, the scale of accumulation suggests significant capital raises over the next two years.
“Every million dollars of revenue that Metaplanet is able to generate on a recurring basis can support about $20 million worth of preferreds,” President Simon Gerovich said in a recent presentation at Bitcoin MENA.
“That means every million dollars in revenue enables us to buy $20 million of Bitcoin today.”
Unlike conventional borrowing, preferreds are structured as perpetual, allowing Metaplanet to hold Bitcoin long-term while offering investors a choice between income-like exposure and Bitcoin-linked upside, according to Dylan LeClair, the company’s head of Bitcoin strategy.
LeClair said the structure is designed to allow Metaplanet to remain “long Bitcoin forever,” while matching different risk profiles through separate securities.
The strategy mirrors the playbook pioneered by U.S.-based Strategy, which has aggressively financed Bitcoin purchases through convertible notes and equity offerings.
However, Metaplanet’s 1% target represents an even more concentrated bet relative to its size.
The Risks of Accumulation
The plan remains exposed to several risks.
Bitcoin’s volatility could result in further large accounting swings, potentially pressuring investor sentiment.
Meanwhile, if the crypto market downturn continues, it could also constrain capital-raising efforts.
The risks of Bitcoin accumulation were recently highlighted by Strategy’s Michael Saylor, who argued that even sharp declines in Bitcoin’s price would not necessarily require the company to sell its holdings.
In recent remarks, Saylor addressed a widely circulated “$8,000 liquidation level,” saying Bitcoin would have to fall dramatically before the company would face severe balance-sheet pressure.
“You’re at $68,000 right now. It literally has to fall to $8,000, and then we’ll just refinance the debt,” Saylor said.
Strategy CEO Phong Le has described the $8,000 figure not as a contractual trigger, but as an extreme scenario in which the company’s Bitcoin reserves would roughly match its net debt — a point at which it could consider restructuring.
