Follow Strategy (MSTR.US) rollover: Metaplanet lost $1 billion

According to Woofun AI, the Japanese listed company Metaplanet tried to replicate MicroStrategy (now Strategy) (MSTR.US)'s Bitcoin hoarding strategy, but it fell into a situation of huge losses and high costs, and the book loss reached 1 billion US dollars.

Metaplanet's holding costs are significantly higher than industry standards. Strategy (MSTR.US)'s Bitcoin cost base is $75,385, while Metaplanet's average purchase price is as high as $102,502, which is 36% higher. The company holds 43,000 bitcoins with a total purchase amount of $4.41 billion. Given that Bitcoin closed at around $77,600 last Friday, its portfolio has lost 24%, and the yield is not even close to bank deposits.

High operating expenses have increased financial pressure. Since it began purchasing Bitcoin in April 2024, Metaplanet has disclosed operating expenses of at least 7 billion yen (about 45 million US dollars), including 4.5 billion yen issuance costs, 1.9 billion yen mortgage credit interest, 298 million yen preferred stock dividends, and 4.8 billion yen SG&A expenses; if part of the SG&A is shared, the cost may exceed 70 million US dollars. The financing strategy evolved from traditional interest-bearing bonds in the summer of 2024 to zero-interest weighted bonds in 2025, causing shareholders to face dilution. As of June 30, 2026, the company had used $414 million of the $500 million credit line, with a withdrawal ratio of 83%.

According to data compiled by Woofun AI, interest expenses surged to 934 million yen in the first quarter of 2026, 300 times the 3 million yen expenditure in the first half of 2025.

The sharp fluctuation in stock prices reflects the plight of shareholders. Although common stock prices have nearly tripled since 2024, they have plummeted 82% since their June high in 2025. The year-to-date decline is 14%, with a cumulative decline of 61% over the past 12 months. Against the backdrop of soaring interest costs and shareholders' refusal to further dilute it, Metaplanet's highly leveraged Bitcoin strategy is facing a severe test.