Metaplanet received a $100 million bitcoin-backed

Tokyo-listed Metaplanet received $100 million in bitcoin-backed borrowing on October 31, drawn from a $500 million credit facility established a few days earlier, to fund additional crypto acquisitions, expand its options trading business, and potentially repurchase shares.

This conservative borrowing represents only 3% of Metaplanet's $3.5 billion bitcoin reserves, allowing it to maintain a sufficient collateral buffer even during a potential market downturn.

Management confirmed that the loan has no fixed maturity date and can be repaid at any time, while the proceeds will primarily support the company's long-term goal of accumulating 210,000 bitcoins by the end of 2027.

Strategic Capital Investment Amid Market Volatility

MetaPlanet's borrowing strategy comes amid significant pressure in the digital asset fund sector, where in September, one-quarter of all bitcoin-holding companies were trading below their crypto reserves.

The company recently approved a 75 billion yen share repurchase program, specifically targeting periods when its enterprise value-to-bitcoin holdings ratio drops below 1.0x, with the aim of reducing the number of outstanding shares and increasing token ownership per remaining share.

The company's market-to-net-asset-value ratio fell to 0.99 at the beginning of last month, making Metaplanet the first major Bitcoin fund company to consistently trade at a discount despite adopting an aggressive accumulation strategy since April.

Representative Director Simon Gerovich described the buyback initiative as designed to "increase capital efficiency and maximize BTC returns" at a time when valuation multiples are compressed.

Meanwhile, broader industry dynamics indicate that corporate Bitcoin adoption has declined by 95% since July. According to CryptoQuant data, only one company launched treasury strategies in September, compared to 21 in July.

Industry-wide premiums have declined from an average of 3.76 times in April to 2.8 times currently, while daily Bitcoin accumulation by treasury companies has declined to just 1,428 tokens in September.

Income Business Expansion Aims for Stable Returns

A portion of the borrowed capital will fund MetaPlanet's income business, which creates and sells cash-secured Bitcoin options to generate premium income while maintaining investments in cryptocurrencies.

According to CoinPost, sales from this division are projected to reach 2.44 billion yen in the third quarter of 2025, representing a 3.5-fold increase from 690 million yen last year.

Source: CoinPost

The options strategy enables the company to generate stable income during market fluctuations, while also providing downside protection through collected premiums.