Metaplanet Leverages Options Strategy to Boost Bitcoin Holdings Amid Expanding Crypto Ambitions

Japanese investment firm Metaplanet continues its bold foray into the world of digital assets, revealing a significant expansion of its bitcoin reserves through a strategic financial maneuver. In its latest move, the Tokyo-based company purchased an additional 696 BTC — valued at approximately 10.152 billion yen ($67.9 million) — executed at an average price of 14,586,230 yen ($97,512) per bitcoin. This brings Metaplanet’s total bitcoin holdings to a notable 4,046 BTC, currently equivalent to around $340 million.

Rather than a straightforward market purchase, the company employed a more sophisticated mechanism: the successful execution of cash-secured put options previously sold. These options created a dual opportunity — allowing Metaplanet to earn bitcoin-denominated premiums and potentially acquire the asset at favorable prices, should the options be exercised. This strategy, as implemented during the first quarter, saw 645.74 BTC acquired through exercised options and an additional 50.26 BTC purchased using the options premium revenue, forming the total new acquisition.

Metaplanet’s bitcoin income generation business, a relatively new but central pillar of its broader digital asset strategy, is structured around selling quarterly cash-secured bitcoin put options. This approach not only facilitates income generation — through collected premiums — but also allocates reserve funds to purchase bitcoin if the options are exercised. And in Q1, this tactic proved fruitful: the firm generated 770.35 million yen ($5.2 million) in operating revenue. Impressively, that marks an 11.4% increase quarter-over-quarter and accounts for over 25% of the firm’s yearly income target of 3 billion yen ($20 million).

But what exactly is a cash-secured put option? In essence, it’s a derivative in which the seller commits to buying an asset — bitcoin, in this case — at a predetermined price if the buyer invokes the contract. To mitigate risk, the seller, Metaplanet, sets aside sufficient capital to honor this obligation. This strategy allows the seller to collect premiums up front, and if market conditions trigger the exercise of the option, to acquire bitcoin at potentially advantageous prices. However, there’s also a downside. Since Metaplanet wrote these options during a period of elevated bitcoin prices — early Q1 when bitcoin flirted with the $100,000 mark — the eventual drop in price meant the bitcoin they bought later through exercised options was more expensive than what it would cost them on today’s market. As of now, bitcoin trades closer to $84,214.

Nonetheless, Metaplanet argues it spent judiciously. Out of the 10.152 billion yen in acquisition cost, it allocated just 9.386 billion yen ($62.7 million) in collateral. Thanks to the income generated through premiums, the firm asserts that its effective cost per bitcoin works out to 13,479,404 yen ($90,073). This figure is lower than the market rate at the time the options contracts were sold — offering more efficient capital deployment compared to direct spot purchases during that period.

In many ways, Metaplanet’s recent move solidifies its status as a major player in the corporate bitcoin space. With 4,046 BTC now in its reserves, it joins the upper ranks of enterprise holders of the cryptocurrency, alongside the likes of Michael Saylor’s MicroStrategy, bitcoin mining firm MARA, Elon Musk’s Tesla, and Jack Dorsey’s Block. This places the company among the top ten known corporate bitcoin holders globally.

At the core of Metaplanet’s strategy is a performance indicator known as BTC Yield, a metric that gauges the effectiveness of acquisitions in bolstering shareholder value. It measures the change in the ratio between total BTC holdings and the firm’s fully diluted shares. Citing growth in 2024, CEO Simon Gerovich reported a year-to-date BTC Yield of 95.6%, a signal of the strategy’s potency and justification for continued expansion.

Indeed, the company’s digital asset ambitions are expansive. Since the formal initiation of its bitcoin adoption strategy in April 2024, Metaplanet has energetically scaled its holdings, with a bold objective of accumulating 10,000 BTC by the end of 2025 and reaching 21,000 BTC by the end of 2026. The strategy is underpinned not only by financial gains but a philosophical shift toward long-term exposure to what it sees as a foundational asset in the evolving financial ecosystem.

Just last week, Metaplanet demonstrated its dedication to this path by acquiring another 150 BTC (worth $12.6 million) through a straightforward market buy, executed at an average price of around $83,801 per bitcoin. Notably, this came just days after appointing Eric Trump to its Strategic Board of Advisors, marking another significant move in its institutional strategy. Further reinforcing its aggressive acquisition plans, the firm also issued 2 billion yen ($13.3 million) worth of zero-interest bonds to support future bitcoin purchases — an effort greenlit by a recent board of directors meeting.

The firm’s deepening commitment to bitcoin has not gone unnoticed in public markets either. Metaplanet’s stock</strong closed up 2% on Tuesday at 409 yen ($2.73), according to TradingView, continuing a stellar run that has seen its share price surge by more than 1,950% over the past year.

Metaplanet’s trajectory serves as a compelling case study of how traditional investment firms are evolving and diversifying in the age of digital assets. Through tactical financial instruments, pragmatic risk management, and an unwavering long-term vision, it has positioned itself not only as a savvy bitcoin accumulator but as a bellwether of corporate crypto adoption in Asia and beyond.