Tokyo-listed Bitcoin treasury company Metaplanet has secured an additional $130 million in Bitcoin-backed credit, expanding its use of collateralized borrowing to fuel BTC purchases, income-generation programs, and potential share buybacks. The company disclosed Tuesday that the loan, executed on Friday, falls under its previously announced $500 million credit facility, allowing Metaplanet to raise short-term liquidity using its Bitcoin reserves as collateral. With this latest draw, cumulative borrowings from the facility now total $230 million, up from $100 million reported in the company’s October 31 credit pull.
Two-track funding strategy
Metaplanet’s financing approach combines debt and equity to support the continuous accumulation of Bitcoin. The $500 million credit facility provides on-demand liquidity secured by its BTC holdings, enabling the company to expand income programs, acquire additional Bitcoin, and back share repurchases without issuing new stock. Complementing this is a plan to raise $135 million through new Class B perpetual preferred shares, offering investors fixed annual payouts, conversion rights into common stock, and potential buyback opportunities. The dual-channel strategy underscores Metaplanet’s approach to scaling its Bitcoin treasury even amid periods of unrealized losses.
Managing unrealized losses
Despite a nearly 20% unrealized loss on its Bitcoin holdings, according to BitcoinTreasuries.NET data, Metaplanet continues to hold and accumulate BTC. The company purchased Bitcoin at an average cost of $108,036, while the current price hovers around $87,000. Dylan LeClair, the company’s Bitcoin strategy director, confirmed on X that Metaplanet is “HODLing.” Community members have noted that the timing of the loan coincided with Bitcoin dipping to $82,000 on Friday, suggesting that the company may have used the opportunity to purchase at lower prices.
