Summary
- During the third quarter, Metaplanet sold 10,000 BTC and later repurchased 11,000, resulting in a net gain of 1,000 BTC and raising its total holdings to 44,000 BTC.
- The sale exceeded the total principal of its bonds and loans, with cash held while debts remained unpaid.
- This transaction resulted in a U.S. capital loss, leading to an estimated deferred tax asset of around $97 million.
Metaplanet, a treasury company listed in Tokyo, executed a notable strategy by selling 10,000 BTC and subsequently buying back 11,000 in the third quarter. This move was aimed at demonstrating to credit rating agencies its capability and willingness to convert its Bitcoin into cash.
The outcome of this transaction was an increase of 1,000 BTC, bringing the company’s total Bitcoin holdings to 44,000 BTC as of September 30, according to BitcoinTreasuries.
“Rating agencies and credit investors ask one question of a Bitcoin company: can that Bitcoin be turned into cash to meet obligations, and will it be? We answered by doing it,” stated chief executive Simon Gerovich in a tweet.
I have two important updates to share with you today as we continue to build Metaplanet into a global financial platform rooted in Bitcoin.
From the beginning, our strategy was never simply to accumulate Bitcoin. Our objective has been to build the leading Bitcoin financial… pic.twitter.com/SGgLSctFCs
— Simon Gerovich (@gerovich) October 5, 2026
The rationale behind this transaction indicates that while Bitcoin is a liquid asset, what is critical for rating agencies and bond investors is not just the ability to sell the asset but also the issuer’s willingness to do so when obligations arise. Instead of merely stating this, Metaplanet opted to show it through an actual sale.
The firm sold more Bitcoin than the total outstanding principal of its bonds and loans, retaining the cash proceeds while leaving the debts unpaid. At the end of the quarter, its liabilities, after accounting for cash and dollar stablecoins, amounted to ¥122.4 billion, compared to sale proceeds of ¥124.7 billion.
Myriad: How high will Bitcoin go? Click to make your prediction.In its filing, Metaplanet referenced a previously released issuer credit rating of an overseas competitor, suggesting that issuers that are hesitant to sell their Bitcoin may find their assets undervalued in credit assessments. Although the company did not disclose the name of the competitor, S&P assigned a B- issuer credit rating to a company named Strategy in October 2025, marking the first such rating for a Bitcoin treasury company, highlighting concerns regarding low dollar liquidity and cautioning that a downturn could necessitate sales at unfavorable prices.
Since then, Strategy has progressed further, having approved a Digital Credit Capital Framework in June that allows for the sale of up to $1.25 billion to support its cash reserves, dividends, and buybacks. By August, it had sold 6,948 BTC for approximately $432.5 million. The Chair, Michael Saylor, has since clarified that he never intended to be "a net seller" of Bitcoin rather than stating he never sells. Subsequently, the company has resumed Bitcoin purchases, exceeding its previous record holdings by the end of last month.
The approaches differ; while Strategy sells Bitcoin to fulfill obligations, Metaplanet sold to demonstrate its capacity, retained the cash, and repurchased more than it initially sold. However, this strategy came at a cost, with Metaplanet selling at an average of ¥12.47 million per BTC and buying back at ¥13.63 million, approximately 9% higher, resulting in a net cost of ¥25.2 billion for the additional 1,000 BTC bought back at close to ¥13.6 million each.
As a result of the sale, which occurred at a price lower than the purchase price, Metaplanet incurred a capital loss for U.S. tax purposes and anticipates a deferred tax asset of about $97 million at its U.S. subsidiaries. This estimate is preliminary and has not been audited, and there is a possibility that it may not be recognized at all. Since the company values Bitcoin at fair market price, this loss does not create an additional accounting loss.
Moving forward, Metaplanet plans to secure a credit rating and has reported consistent revenue generation from its Bitcoin Income Generation business for eight consecutive quarters. Gerovich emphasized that the company now ranks as the second-largest publicly listed Bitcoin treasury firm globally, reiterating that its strategy "was never simply to accumulate Bitcoin."
Additionally, he introduced a Net Interest Income Strategy aimed at creating steady income streams and reducing the company's effective cost of capital. This initiative aligns with an upcoming Superplanet transaction and the establishment of Metaplanet Securities, as part of a unified effort to develop a Bitcoin-centric financial institution.
The third quarter saw a further slowdown in Bitcoin accumulation for Metaplanet, which added 2,823 BTC in the second quarter, a decline from earlier in the year; the net addition for the third quarter was approximately one-third of that figure.