- Metaplanet falls 9.9% to 244 yen on Tuesday, extending its two-session decline to approximately 17%.
- An August amendment caps the executive option pool at 319.46 million potential shares without reversing earlier expansion.
- Investors seek clarification on Gerovich’s MMXX ties after his statement and an earlier filing describe different interests.
Metaplanet shares fell 9.9% to 244 yen on Tuesday, September 8, extending their two-session decline to roughly 17%. The slide follows CEO Simon Gerovich’s response to criticism over executive compensation and shareholder dilution.
Investors continue questioning an expanded option pool and his connections to shareholder MMXX Ventures. Bitcoin traded mostly flat over three days, while the company’s shares lost 7.5% on Monday alone.
Metaplanet option cap leaves earlier expansion intact
The Series 10 plan dates to December 2022, before the company adopted its bitcoin treasury strategy in April 2024. Its formula linked the award pool to 20% of fully diluted shares.
As Metaplanet raised equity to acquire bitcoin, the pool expanded from roughly 46 million potential shares to about 319 million. Existing shareholders faced dilution while the executive allocation increased.
An August 18 amendment removed that adjustment mechanism, fixing the pool at 319.46 million potential shares. The exercise price stayed at 10 yen, with a share lock-up through August 17, 2031.
However, the amendment preserved the enlarged allocation. Ragnar said on X that some investors now seek cancellation of roughly 273 million additional potential shares and a replacement incentive structure.
Gerovich acknowledged shortcomings in shareholder communication. He said Metaplanet continues reviewing governance and compensation policies, with updates to follow once that work concludes.
MMXX ownership statements draw fresh investor questions
Scrutiny also centers on how Gerovich’s latest account compares with earlier corporate disclosures. An August 2024 filing described him as indirectly holding majority voting rights in MMXX.
That filing classified a loan from MMXX as a related-party transaction. It also said Gerovich did not participate in the board’s deliberations or decision concerning that loan.
In his Sunday statement, the Metaplanet CEO described himself as a substantial, non-majority shareholder of MMXX’s parent. He denied holding a director or officer position at MMXX or influencing its investment decisions.
Investors have requested ownership details and clarification of any economic benefits Gerovich or affiliates received from MMXX’s 2024 share sales.
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