Metaplanet CEO addresses investor outcry over share dilution

The controversy centers on the Series 10 Stock Acquisition Rights program, which originally allowed the reward pool to expand automatically alongside new share issuances. While Metaplanet capped this pool at 319,464,000 potential shares on August 18, critics argue this move locked in growth that had already occurred rather than addressing the dilution caused by the company’s pivot to a Bitcoin treasury model in 2024. Shareholders have specifically called for the cancellation of roughly 273 million shares they claim were added to the pool during the treasury strategy's implementation.

Gerovich recently exercised 92,000 rights, securing 64,032,000 shares that are now subject to a five-year lock-up period ending in 2031. Addressing his relationship with MMXX Ventures, the CEO stated he holds a non-majority interest in the entity’s parent company and denied any involvement in its trading or investment decisions. Despite these clarifications, shareholders continue to demand greater transparency regarding the ownership structure of MMXX and the economic benefits derived from its past trading activity. Metaplanet has yet to confirm whether it will implement further changes to the incentive program or provide a comprehensive breakdown of beneficial ownership.