Metaplanet’s $130 mln loan to raise Bitcoin raises eyebrows – This is why

Key Takeaways

How much has Metaplanet borrowed so far?

The company has now borrowed $230 million out of its $500 million credit facility.

What backs these loans?

All loans are secured by Metaplanet’s Bitcoin holdings, which currently stand at 30,823 BTC, worth about $2.7 billion.

At a time when Bitcoin is battling one of its toughest market phases, institutional conviction isn’t fading; instead, it’s quietly getting stronger.

Tokyo-listed DAT firm Metaplanet has doubled down on its long-term strategy, securing another $130 million loan backed by its Bitcoin holdings.

The move, executed on the 21st of November under a $500 million credit facility, signals the company’s ongoing commitment to expanding its Bitcoin-anchored income stream.

This shows that even in a shaky market, Metaplanet is aggressively building its Bitcoin [BTC] position.

Metaplanet’s bold Bitcoin bet

That said, the newly disclosed $130 million loan operates on a floating rate linked to U.S. dollar benchmarks and renews automatically on a daily cycle, giving Metaplanet flexibility in managing its debt.

As per the plan, the firm can repay the amount whenever it chooses, and every draw under the credit facility is secured by the company’s growing Bitcoin reserve.

Metaplanet noted that sharp price drops could require it to post additional Bitcoin as collateral, but the company believes its current holdings offer a strong buffer.

Metaplanet’s Bitcoin analytics

With 30,823 BTC, worth roughly $2.7 billion at today’s prices, the firm said it maintains ample collateral coverage and expects to preserve “sufficient collateral headroom” even during periods of heavy volatility.

Its internal financial policy also caps borrowing at levels where these buffers remain intact, ensuring the company does not overstretch its leverage.

With the latest loan draw, Metaplanet has now tapped $230 million out of its $500 million credit facility.

Data from its analytics dashboard highlights the scale of its accumulation: 30,823 BTC in total holdings, a YTD Bitcoin yield of 496.4%, and a bold long-term goal of reaching 210,000 BTC by the end of 2027.

Is the firm following Strategy’s footsteps?

This aggressive expansion places Metaplanet firmly in the footsteps of Michael Saylor’s Strategy (formerly MicroStrategy), leaning into Bitcoin as a treasury backbone and buying even during downturns.

If looked closely, the approach closely aligns with the classic “buy the dip” philosophy.

In this case, the firm acquires more of an asset during price drops under the belief that the weakness is temporary and future rebounds will amplify returns.

While the method can significantly improve long-term gains in strong upward market cycles, it is not without risk.

Prices may continue sliding, momentum can shift against investor sentiment, or recovery timelines can extend far longer than expected.

For firms like Metaplanet, success ultimately depends on conviction, balance sheet strength, and the ability to weather volatility while accumulating at lower cost.

Bitcoin price action and more

That said, Metaplanet’s latest move comes as Bitcoin traded at $87,596.60, slipping 0.34% on the day and more than 24% over the past month, according to CoinMarketCap.

Yet the company’s confidence stands in sharp contrast to the market’s weakness as its stock in Tokyo edged up to ¥366.00, reflecting growing investor support for its Bitcoin-centric approach.

This momentum follows Metaplanet’s earlier decision to lean even harder into its Bitcoin-first strategy, drawing $100 million from the same credit facility on the 31st of October.

With both loan executions, the firm has resumed aggressive accumulation after a short pause, signaling that short-term volatility isn’t slowing its long-term vision.

Thus, even in a turbulent market, the company is positioning itself for the next cycle, betting that disciplined, conviction-driven accumulation today will translate into outsized gains when the market turns.