Metaplanet said on Friday it is cutting the pool of executive stock acquisition rights behind its Series 10 warrant plan by 41%, a change the company’s chief executive says wipes out more than $220 million in warrant value.
CEO Simon Gerovich announced the change in a letter to shareholders, alongside a disclosure to the Tokyo Stock Exchange. The pool of potential shares drops from 319.46 million to 188.19 million, cancelling roughly 131.3 million. The cut is executed by resetting the warrant conversion ratio from 1:696 to 1:410, where it stood before the company’s international share offering in September 2025. Gerovich said the move reduces the fully diluted share count and increases Bitcoin per fully diluted share by approximately 8.8%, a company projection.
The retreat follows weeks of shareholder anger over dilution. The plan, created in 2022, set the executive reward pool at 20% of fully diluted share capital rather than a fixed number of shares, so the pool expanded automatically as Metaplanet issued stock to buy Bitcoin, growing from 46 million potential shares to 319.5 million. On August 18, the company fixed the pool and acknowledged the expansion “amplifies the dilution borne by existing shareholders.” Pressure intensified after Gerovich exercised 92,000 rights in late August, receiving about 64 million shares under the old terms.
The company framed the reset as a correction to a structure that outgrew its purpose. “The Series 10 stock acquisition rights were never intended to incentivize non-accretive or modestly accretive dilution,” Gerovich wrote. The board approved the amendment with the unanimous consent of all Series 10 holders; Gerovich, the only director holding the rights, did not take part in the deliberation or the vote.
Shares already delivered through prior exercises will not be returned, and Gerovich keeps the roughly 64 million shares he received. He retains rights to a further 49.13 million shares under the revised structure. Unvested rights now vest one-third each in 2029, 2030 and 2031, and a plan to transfer 20% of the warrants into an employee incentive pool was cancelled. A new compensation program will be designed with a compensation consultant the company did not name.
In the same announcement cycle, Metaplanet said it will establish Metaplanet Asset Management Asia Limited in Hong Kong with $1 million in initial capital, to trade Bitcoin, equities and credit products during Asian market hours as part of its Project Nova expansion.
Metaplanet shares fell 3.8% on Friday, taking the five-day decline to 15%. The company holds 43,000 BTC at an average acquisition cost of about $95,209 per coin.
