On October 28, 2025, Metaplanet Inc., often referred to as “Japan’s MicroStrategy”, announced a significant financial strategy centered around a massive share buyback funded by a loan backed by its Bitcoin holdings. This bold move is a direct response to the market undervaluing its stock and aims to boost shareholder value by leveraging its substantial crypto assets without selling them.
A Strategic Response to Undervaluation
The core of Metaplanet’s announcement is a share repurchase program of up to ¥75 billion (approximately $500 million). The company plans to buy back up to 150 million of its own common shares, which represents about 13.13% of all its outstanding stock. This program is scheduled to run for one year, from October 29, 2025, to October 28, 2026.
The company’s leadership has explicitly stated that the buyback was triggered because they believe the stock is undervalued. This perception is based on a key metric for digital asset firms: the market capitalization-to-net asset value (mNAV) ratio. This ratio compares the company’s total market value to the value of its Bitcoin holdings. When it falls below 1.0, it indicates the stock is trading for less than the value of the Bitcoin on its balance sheet. Metaplanet’s mNAV recently dropped below this threshold, making the buyback an attractive tool to increase the value of remaining shares by reducing the total number in circulation.
Financing the Move with Bitcoin
To fund this ambitious buyback, Metaplanet is not selling any of its Bitcoin. Instead, the company’s board has approved a $500 million credit facility. The innovative part of this strategy is that the company will use its Bitcoin holdings as collateral to secure this loan. This approach allows Metaplanet to access the capital needed for the buyback while maintaining its long-term conviction in Bitcoin.
This strategy underscores a “never sell” philosophy for its core Bitcoin treasury. By borrowing against its Bitcoin, the company bets that the future appreciation of the cryptocurrency and the positive impact of the buyback on its share price will outweigh the interest cost of the loan. As of the announcement, Metaplanet holds 30,823 BTC, worth about $3.5 billion, making it the largest corporate Bitcoin holder in Asia and the fourth-largest globally.
Market Reaction and Future Goals
The market’s initial response to this announcement has been positive. Following the news, Metaplanet’s stock price on the Tokyo Stock Exchange saw a significant rebound, rising nearly 18% over five days and helping its mNAV ratio recover to around 1.03. This indicates that investors view the strategic move favorably.
Looking ahead, Metaplanet remains committed to its ambitious long-term goal of acquiring 210,000 BTC by the end of 2027. The newly established credit facility is not only for the share buyback but can also be used for further purchases of Bitcoin or investments in its Bitcoin-related income business, demonstrating a comprehensive and aggressive Bitcoin-centric capital strategy.
