Japanese Microstrategy Metaplanet Releases Latest Financial Report
In the second quarter of 2025, Metaplanet reported revenue of 1.097 billion yen, a growth of 42.4% compared to the previous quarter. This growth was primarily driven by the generation of sustainable income through cash-secured Bitcoin sell put options, while also increasing the quantity of long-term held Bitcoin. However, with the continuous influx of new entrants and Japan’s potential opening of Bitcoin ETF opportunities, Metaplanet’s mNAV (the ratio of current stock price to the value of its held Bitcoin) has dropped to 2.76 times, significantly lower than the 12 times recorded in February of this year. The stock price has also decreased from a peak of 1,930 yen in mid-June to 1,002 yen, a decline of nearly fifty percent.
Metaplanet Generates Bitcoin Revenue Through Options Trading
The report for the second quarter of 2025 indicates that Metaplanet created sustainable income through cash-secured Bitcoin sell put options while increasing its long-term Bitcoin holdings. In the second quarter, Metaplanet generated revenue of 1.097 billion yen (approximately 7.57 million USD) from selling Bitcoin put options. All option contracts for Q2 have either expired or been executed, and the cash has been converted into long-term Bitcoin holding assets.
Quarterly Bitcoin Revenue:
| Quarter | Bitcoin Revenue | Quarterly Growth % |
|---|---|---|
| 2024 Q4 | 690 million yen | — |
| 2025 Q1 | 770 million yen | 11.4% |
| 2025 Q2 | 1.097 billion yen | 42.4% |
Metaplanet projects a total Bitcoin revenue of 3 billion yen for the entire year of 2025, with the achievement rate for the first two quarters already at 62.25%.
How Does Metaplanet Execute Its Options Strategy?
Metaplanet sells Bitcoin put options, committing to buy Bitcoin at a specific price on a future expiration date, using cash as collateral to ensure adequate funds for purchasing BTC when contracts are executed. The illustration below explains this, setting the strike price (red dashed line) at 120K and the break-even price (green dashed line) at 119K.
If, at expiration, the Bitcoin price is above 120K, the trade will not be executed, and the company retains the premium in the green area. If the Bitcoin price is below 120K, the company is forced to buy Bitcoin at 120K, but it has already received premium income.
If the Bitcoin price is between 119K and 120K, the company’s purchase at the strike price is still cheaper than buying at the current market price.
If the Bitcoin price is below 119K, the company faces losses, as buying at the current market price would be cheaper. However, the financial report only accounts for premium income and does not disclose the risks and losses associated with a decrease in Bitcoin prices. After all, the basic principle of options is: the seller has limited profits but unlimited risks.
What Are Metaplanet’s Potential Transparency Risks?
Metaplanet has not disclosed details regarding the strike prices and expiration dates of its options, meaning investors cannot assess the price risk range the company is assuming. Will the company utilize higher strike prices to exchange for higher premium income to beautify its financial reports? This method allows the company to manipulate financial report figures at will, but while Bitcoin income increases, will it force the company to buy Bitcoin at a higher price? Investors will have no way to verify this.
Metaplanet’s financial guidance for the entire year of 2025 indicates 3.4 billion yen, with Bitcoin revenue accounting for 3 billion yen (88%). The financial report completely focuses on Bitcoin revenue and makes no mention of hotel operations, operating solely as a financial trading company.
Metaplanet’s Stock Price Drops Nearly Fifty Percent from Peak, mNAV Falls to 2.76 Times
Recently, Metaplanet’s stock price has experienced a significant correction. With the continuous influx of new entrants and Japan’s potential opening of Bitcoin ETF opportunities, investors have more alternative targets. Metaplanet’s mNAV (the ratio of current stock price to the value of its held Bitcoin) has declined to 2.76 times, far below the 11 times recorded in February of this year. The stock price has also decreased from a peak of 1,930 yen in mid-June to 1,002 yen, representing a decline of nearly fifty percent.
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Risk Warning
Investing in cryptocurrencies carries a high level of risk, with prices subject to extreme volatility, and you may lose your entire principal. Please evaluate the risks carefully.