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Japan's Metaplanet Faces Major Bitcoin Losses Amid Positive Revenue Outlook

Japanese cryptocurrency treasury firm Metaplanet has reported a staggering unrealized loss of approximately $680 million on its Bitcoin holdings for the fiscal year ending 2025.

This impairment, amounting to 104.6 billion yen, has been categorized as a non-operating expense, indicating it won’t affect the company’s cash flow or ongoing operations directly.

Despite this significant loss, Metaplanet is projecting a consolidated ordinary loss of 98.56 billion yen and net losses of 76.63 billion yen for the same fiscal period.

Interestingly, the company has reported a positive revision of its 2025 revenue forecast, now expecting 8.9 billion yen, a 31% increase, bolstered by strong performance in its Bitcoin-derived revenue segments.

Metaplanet plans to increase its Bitcoin stash from 1,762 to 35,102 BTC by the end of 2025, demonstrating its commitment to long-term accumulation despite short-term volatility.

Investment strategies in derivatives and options have significantly contributed to revenue, with operating profits also expected to rise by 33.8%.

Furthermore, the firm is utilizing diversified funding sources, including a $500 million credit line and a Series B preferred share issuance, to support its growth.

While Metaplanet's stock fell by 7.03% in the Tokyo market, shares traded OTC in the U.S. saw a slight uptick.

The company remains optimistic about future earnings, projecting substantial growth in both revenue and operating profit for 2026.

Metaplanet’s situation illustrates the complexities and potential of investing in Bitcoin as a foundational asset in portfolio strategy, and highlights the dual nature of risk and opportunity in the cryptocurrency market.