Metaplanet Slashes Executive Reward Pool by 41% Following Shareholder Backlash

Japanese Bitcoin treasury company Metaplanet has cut its management equity reward pool by 41%, reducing the total potential share pool under its Series 10 Stock Acquisition Rights plan to 188.2 million shares. This latest adjustment follows an earlier reduction in August that had already lowered the pool from its original size to around 320 million shares.

The reward structure was originally designed in 2022 to represent 20% of Metaplanet’s fully diluted share capital, rather than a fixed number of shares. This approach drew criticism from shareholders who joined the company after it began selling shares to fund Bitcoin purchases in 2024, arguing the structure diluted their holdings while disproportionately benefiting company executives.

CEO Says Changes Eliminate Over $220 Million in Value

Metaplanet CEO Simon Gerovich acknowledged the concerns, stating the company never intended to incentivize dilution that failed to benefit shareholders proportionally. He said Friday’s adjustment eliminates more than $220 million in warrant value that had previously been generated under the expanding reward mechanism.

However, the 64 million shares Gerovich acquired in late August under the previous terms will not be returned. Under the revised plan, he retains rights to acquire an additional 49.1 million shares. Gerovich did not address separate shareholder questions regarding MMXX Ventures or his personal financial interests connected to the firm. Metaplanet also withdrew an earlier proposal to shift warrants into an employee incentive program, saying it will instead develop a new compensation structure with outside advisors.