Japan’s Biggest Corporate Bitcoin Holder Reports $736 Million Valuation Loss

Metaplanet reported strong sales growth from Bitcoin derivative strategies even as BTC valuation losses hammered net earnings.

Metaplanet reported a ¥114.5 billion (around $725.6 million) net loss in the first quarter of fiscal year 2026, as declining Bitcoin prices led to massive accounting valuation losses on its holdings.

The company reported an ordinary loss of ¥114.9 billion ($728 million), largely driven by ¥116.3 billion ($736 million) in Bitcoin valuation losses recorded during the quarter.

Metaplanet Quarterly Loss

Despite the losses, Metaplanet posted strong operating growth. Its net sales rose 251.1% year-over-year to ¥3.08 billion ($19 million), and its operating profit increased 282.5% to ¥2.27 billion ($14.3 million). Revenue from its Bitcoin Income Generation business, which includes option premium strategies tied to BTC derivatives, rose sharply to ¥2.54 billion.

Metaplanet’s Bitcoin holdings increased to 40,177 BTC by the end of March 2026, up from 35,102 BTC at the end of December 2025. It has managed to retain its position as the largest Bitcoin-holding listed company outside the United States, according to the filing.

During the quarter, the company continued raising capital through common share issuances, preferred shares, stock acquisition rights, and Bitcoin-backed credit facilities to support additional BTC purchases.

Metaplanet also disclosed that it secured a $500 million Bitcoin-collateralized credit facility and had drawn $302 million under the arrangement as of May 13, 2026. Total assets fell to ¥466.7 billion at the end of March from ¥505.3 billion at the end of 2025, mainly due to lower Bitcoin valuations.

“The Company will continue to accumulate Bitcoin, grow Bitcoin per share, and allocate capital with discipline. Over time, it intends to develop financing capabilities, operating businesses, and institutional relationships that make its Bitcoin position more productive and durable. This work sits inside a larger shift in how money and capital markets are organized. The Company intends to contribute to the development of Japan’s digital capital markets.”

Metaplanet’s Disclosure Practices Controversy

The results come as the company faces criticism online over its Bitcoin acquisition strategy and disclosure practices. Earlier this year, CEO Simon Gerovich defended the company’s strategy while explaining that all Bitcoin purchases, wallet addresses, and borrowing arrangements had been disclosed in real time.

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Gerovich also said the company’s options strategy was aimed at acquiring BTC below spot prices through premium income rather than speculating on short-term price movements.