Metaplanet, a Tokyo-listed firm, executed a $100 million drawdown on October 31. This comes from a $500 million credit facility. The move utilizes Metaplanet’s Bitcoin-backed loan to fund new acquisitions of BTC and expand its options business. Company management confirmed the operation.
This conservative loan represents only 3% of Metaplanet’s total Bitcoin reserve, valued at $3.5 billion. The company thus maintains substantial collateral buffers, even against market crashes. The loan has no fixed maturity date. Furthermore, it allows repayment at any time. The funds will support the company’s long-term goal of accumulating 210,000 Bitcoin by 2027.
Metaplanet’s strategy emerges during a time of heavy pressure for the sector. Recent data showed that a quarter of companies with BTC treasuries were trading below their reserve values. In fact, Metaplanet itself briefly traded at a discount (0.99 mNAV ratio) last month. To combat this, the firm approved a 75 billion yen share repurchase program.
Is this strategy a sign of confidence amid a bear market?
Simon Gerovich, Representative Director at Metaplanet, described the buyback initiative as a measure designed to “enhance capital efficiency”. While Metaplanet doubles down, overall corporate adoption has plummeted. According to CryptoQuant data, corporate Bitcoin adoption fell 95% since July. The cryptocurrencies market faces high volatility. Bitcoin recently fell below the key $100,000 support, entering bear territory.
A portion of Metaplanet’s Bitcoin-backed loan will be allocated to the firm’s “Income Business.” This business generates stable income by selling cash-secured Bitcoin options. Sales for this division are projected to reach 2.44 billion yen in the third quarter of 2025. Despite the market downturn, analysts like Shawn Young of MEXC Research see signs for a possible recovery in November, citing accumulation by major players and macroeconomic factors.
