Metaplanet shareholders demand cancellation of 273 million executive shares

Shareholders of the Tokyo-listed company Metaplanet are demanding the cancellation of approximately 273 million potential shares allocated to executive compensation. The dispute arises from the company’s strategic pivot to a Bitcoin treasury model, which led to repeated equity issuances to fund digital asset purchases.

Originally, an executive options plan approved in early 2023 covered 46 million shares. However, a mechanism within the plan adjusted the pool in proportion to the company’s total share count to maintain a specific percentage of ownership. As Metaplanet issued more stock to acquire Bitcoin, the executive pool expanded from 46 million to over 319 million potential shares.

While Metaplanet has since eliminated the adjustment mechanism to cap future expansion, the company has not rolled back the existing increase. Shareholders argue that the expansion significantly dilutes existing investors and seek to unwind the windfall created by the capital-raising strategy.