Nikolas Sargeant
Metaplanet CEO Simon Gerovich has rejected accusations that the company misled investors about its Bitcoin strategy and financial disclosures, responding to critics who alleged the firm delayed price-sensitive information about large cryptocurrency purchases and derivatives trades.
Critics on social media argued Metaplanet withheld information about Bitcoin purchases and options trades funded with shareholder capital, obscured losses from its derivatives strategy, and failed to fully disclose key terms of Bitcoin-backed borrowings. In a detailed Friday post, Gerovich characterized the accusations as misreadings of financial statements rather than evidence of misconduct.
Gerovich stated Metaplanet made four Bitcoin purchases during September 2025 and "promptly announced" each transaction, rejecting claims the company secretly bought at local price peaks without disclosure. The company's real-time public dashboard shows purchases of 1,009 BTC on September 1, 136 BTC on September 8, 5,419 BTC on September 22, and 5,268 BTC on September 30, 2025.
Gerovich defended the company's put options and put spreads strategy as designed to acquire Bitcoin below spot prices and monetize volatility for shareholders rather than short-term price speculation. The approach has drawn criticism as part of broader scrutiny of leveraged Bitcoin treasury strategies.
Metaplanet reported fiscal 2025 revenue of 8.9 billion Japanese yen (approximately $58 million), up roughly 738% year-over-year, while booking a net loss of about $680 million due to Bitcoin price declines. Gerovich contested using net profit as a performance yardstick for Bitcoin treasury companies, instead highlighting revenue and operating profit growth from Bitcoin-related activities including options income.
Gerovich noted Metaplanet established a credit facility in October 2025 and disclosed subsequent drawdowns in November and December, including borrowing amounts, collateral structure, and broad interest terms. The lender's identity and exact rates were withheld at the counterparty's request.
The defense arrives as other listed Bitcoin treasury companies face scrutiny over sustainability and risk of Bitcoin-heavy treasury models. Strategy, the largest corporate Bitcoin holder, reported a $12.4 billion net loss in Q4 2025 as Bitcoin fell 22%, though emphasized a "stronger and more resilient" capital structure.
