How Metaplanet CEO Turned Bitcoin Volatility Into Massive Holdings – Response to Explosive Allegations

Prashant Jha

Fri, February 20, 2026 at 5:06 PM GMT+9 4 min read

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Key Takeaways

Metaplanet CEO Simon Gerovich publicly rejected allegations regarding the company’s Bitcoin and options strategy.

The company says its put option strategy is designed to reduce effective Bitcoin acquisition costs — not to speculate on price direction.

Gerovich emphasized transparency, shareholder alignment, and long-term Bitcoin accumulation.

Metaplanet CEO Simon Gerovich has publicly responded to anonymous allegations criticizing the company’s increasing allocation to yield-generating strategies.

Gerovich said that over the past six months, the company has continued accumulating Bitcoin while selling put options and spreads.

According to him, the strategy is designed to reduce the effective cost of acquiring Bitcoin, not to speculate on price appreciation.

Allegations Against Metaplanet

An anonymous social media user accused the firm of hiding key details about its Bitcoin purchases and options trades.

The claims suggested the company had not been fully transparent with shareholders.

The user, who claimed to own 50,000 shares, alleged that Metaplanet was “squeezing shareholders” while obscuring critical information.

The criticism focused primarily on Bitcoin purchases and the company’s derivatives activity.

The post alleged that Metaplanet bought a significant amount of Bitcoin in September 2025 at a local price peak using proceeds from a share sale.

According to the critic, the company remained silent until Bitcoin’s price recovered.

“They bought at the September high and stayed silent until Bitcoin came back,” the post claimed.

The user also alleged that four major purchases were made that month without proper or timely notice.

Options Strategy and Borrowing Concerns

However, the most pointed criticism targeted Metaplanet’s put option strategy.

The critic argued that the company sells put option contracts that give buyers the right to sell Bitcoin to the company at a predetermined price — describing the approach as a failed “bet.”

The post claimed that when Bitcoin’s price declines, the puts either force the company to buy at above-market prices or result in losses. “They are selling put options, so failure is obvious (Bitcoin rises = success, falls = failure),” the critic wrote.

Additional accusations included insufficient disclosure of option details, with some purchase notices allegedly showing prices that diverged from prevailing market levels due to exercised options.

The critic further argued that the company portrays its “income business” from options as consistently successful in reports, even when outcomes may differ.

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Other claims centered on borrowing practices.

The user said the firm uses Bitcoin as collateral for loans without naming the lender or disclosing the exact interest rate.

The post also criticized the company’s legacy hotel business as “run-down” and of little value, asserting that Bitcoin accumulation relies entirely on shareholder funds rather than executive capital.

Metaplanet CEO’s Response

Metaplanet CEO Simon Gerovich strongly rejected the allegations in a detailed public response on X.

He described the claims as factually incorrect.

The CEO explained that the company uses market volatility to strategically increase its Bitcoin holdings at lower effective costs.

Gerovich called the disclosure allegations “inciting and contrary to facts.”

The Metaplanet CEO emphasized that all Bitcoin addresses are publicly visible.

Shareholders can monitor holdings via a live dashboard at any time.

“We are one of the most transparent listed companies in the world,” Gerovich wrote.

He confirmed that four Bitcoin purchases were made in September and said each was announced promptly when decided.

“September marked a local peak. I have no intention of denying that,” he added.

Regarding borrowing disclosures, Gerovich said the company issued three timely announcements covering the credit line and related drawdowns, including amounts, collateral, purpose, and terms.

He acknowledged that the lender’s name and exact interest rate remain confidential at the counterparty’s request.

Gerovich also stressed that he and his family are significant shareholders who personally feel the impact of stock price volatility.

The Put Options Strategy Explained

At the center of his defense was the put options strategy. Gerovich emphasized that the approach is not a directional bet on Bitcoin rising.

Instead, it is designed to monetize volatility and reduce acquisition costs.

Selling a put option allows the company to collect an upfront premium.

If Bitcoin remains above the strike price, the option expires worthless and Metaplanet retains the premium.

If the price falls and the option is exercised, the company buys Bitcoin at a lower effective cost after factoring in the premium it received.

He said the strategy “monetizes volatility for shareholders” and significantly reduced effective purchase costs in the fourth quarter.

According to Gerovich, the company’s Bitcoin-per-share metric — its primary performance measure — rose more than 500% in 2025.

He also stated that options premiums accounted for a substantial share of revenue last year.

Looking Ahead

Metaplanet continues to pursue its Bitcoin treasury strategy, now ranking among the largest public-company holders.

Whether the approach proves successful over the long term will depend on Bitcoin’s future trajectory.

However, Gerovich made one point clear: when managed strategically, volatility can be an asset rather than a liability.

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The post How Metaplanet CEO Turned Bitcoin Volatility Into Massive Holdings – Response to Explosive Allegations appeared first on ccn.com.

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