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Simon Gerovich Slams Critics of Metaplanet’s BTC Strategy

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Simon Gerovich Slams Critics of Metaplanet’s BTC Strategy


Metaplanet denied claims of hidden activity, and maintained that all Bitcoin purchases, wallet addresses, and capital deployment decisions were publicly disclosed in real time.

Metaplanet’s CEO Simon Gerovich said claims that the firm’s disclosures are insincere are “inflammatory and contrary to the facts.” He added that over the past six months, as volatility increased, the Japanese public company allocated more capital to its income business and sold put options and put spreads, which are actively managed as option positions.

The response follows accusations circulating online questioning Metaplanet’s disclosure practices and use of shareholder funds. The claims state that Bitcoin purchases were not disclosed promptly, including a large purchase made near the September price peak using proceeds from an overseas public offering, followed by a period without updates.

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Gerovich’s Defense

In his latest post on X, Gerovich said part of these funds was used to purchase Bitcoin for long-term holding, and that these purchases were disclosed at the time they were made. The exec added that all BTC addresses are publicly available and can be viewed through a live dashboard, which allows shareholders to check holdings in real time. He went on to assert that Metaplanet is one of the most transparent listed companies in the world.

Metaplanet made four purchases during September and announced all of them promptly. While the month was a local peak, Gerovich stated that the company’s strategy is not about timing the market, maintaining that the focus is to accumulate Bitcoin long-term and systematically, and that every purchase is disclosed regardless of price.

On options trading, Gerovich noted the criticism stemmed from a misunderstanding of the financial statements. He said selling put options is not a bet on BTC’s price rising, but a way to acquire Bitcoin at a cost lower than the spot price through premium income. He explained that this strategy reduced effective acquisition costs in the fourth quarter. He revealed that Bitcoin per share, the company’s primary key performance indicator, increased by more than 500% in 2025.

Financial Statements And Borrowings

On financial results, Gerovich clarified that net profit is not an appropriate metric for evaluating a Bitcoin treasury company. He pointed to the operating profit of 6.2 billion yen, which indicates a growth of 1,694% year over year. According to the exec, the ordinary loss comes solely from unrealized valuation changes on long-term Bitcoin holdings that the company does not intend to sell.

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Three disclosures related to borrowings were made – when the credit facility was established in October, and when funds were drawn down in November and December. Borrowing amounts, collateral details, interest rate structures, purposes, and terms were disclosed. The identity of the lender and specific interest rate levels were not disclosed at the counterparty’s request, despite the terms being favorable to Metaplanet.

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Crypto World

Crypto Markets Tick Up Following Supreme Court Tariff Ruling

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Crypto Markets Tick Up Following Supreme Court Tariff Ruling

Bitcoin holds near $67,700 while investors assess Trump’s new 10% global tariff plan.

Crypto markets traded slightly higher on Friday, Feb. 20, as traders reacted to the U.S. Supreme Court ruling that struck down President Donald Trump’s emergency tariffs.

Bitcoin (BTC) is trading at $67,728, up 1.2% over the past 24 hours, while Ethereum (ETH) is at $1,970, up 1.5%. Other large-cap tokens were also mostly higher, with XRP up 1.5% to $1.43, BNB rising 3.2% to $625, and Solana (SOL) gaining 4% to $85.

Meanwhile, the total cryptocurrency market capitalization is hovering near $2.4 trillion, up 1.3% on the day. Daily trading volume stood at around $114.5 billion, according to CoinGecko.

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Among top gainers, Morpho (MORPHO) climbed 11%, Ethereum Classic (ETC) rose 5.3%, and Official Trump (TRUMP) added about 5%. On the downside, Aave (AAVE) fell roughly 4.6%, Pi Network (PI) dropped about 3%, and Rain (RAIN) slipped around 2%.

Liquidations and ETF Flows

About $180 million in leveraged crypto positions were liquidated in the past 24 hours, according to CoinGlass. Long liquidations accounted for roughly $71.9 million, while shorts made up about $108 million.

Bitcoin led liquidations with $67.9 million, followed by Ethereum at around $38.3 million. More than 78,600 traders were liquidated during the period.

In the ETF space, Bitcoin spot ETFs recorded $165.76 million in outflows, while Ethereum spot ETFs experienced $130 million in outflows. In contrast, XRP spot ETFs recorded around $4 million in inflows, while Solana spot ETFs posted $5.94 million in inflows, per SoSoValue data.

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Supreme Court Strikes Down Tariffs

The market uptick came amid intensifying macroeconomic uncertainty after President Donald Trump announced plans to impose a 10% global tariff. Trump’s announcement immediately followed a Supreme Court ruling that deemed his emergency tariffs illegal.

Notably, President Trump’s new tariffs could only take effect for up to 150 days unless Congress approves an extension, CNN reported.

Investors also reacted to increased geopolitical tensions after Trump said he is considering a limited military strike on Iran if nuclear negotiations do not progress soon.

In traditional markets, safe-haven assets have continued to hold steady. Gold traded at $5,092, up 1.46%, while silver climbed 6% to $84.

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Meanwhile, Paul Howard, Senior Director, Wincent, said in comments shared with The Defiant that there has been a “mix of developments” over the past two days impacting price action independently of larger macro trends.

“These include speculation around the U.S. stablecoin bill, the launch of a SUI ETF on Nasdaq, and several DATs marking down their books,” Howard said. “Given the noticeable thinning of liquidity over the past month, volatility risk is currently elevated relative to levels observed over the past 12 months.”

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Bitcoin Whales Rebuild Reserves With 236K BTC in 90-days

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Cryptocurrencies, Bitcoin Price, Markets, Cryptocurrency Exchange, Binance, Price Analysis, Market Analysis, Liquidity, Whale

Large Bitcoin (BTC) holders have steadily increased their holdings in recent months, with the total balance climbing back to levels last seen before the October 10, 2025, market crash.

At the same time, crypto exchange data shows whale-related outflows averaging 3.5% of exchange-held BTC over a 30-day rolling period, the highest since late 2024.

BTC whale reserves return to pre-October peak

Bitcoin wallets or “whales”, holding between 1,000 and 10,000 BTC, have rebuilt reserves over the past three months. The cohorts increased their total balance to 3.09 million, from 2.86 million BTC on Dec. 10, 2025, a 230,000 BTC addition that restores their balance to pre-October 2025 levels.

Cryptocurrencies, Bitcoin Price, Markets, Cryptocurrency Exchange, Binance, Price Analysis, Market Analysis, Liquidity, Whale
Total BTC balance of large holders (1K-10K). Source: CryptoQuant

Crypto analyst ‘Caueconomy’ said the full drawdown in whale reserves has been reversed over the past 30 days with the accumulation of 98,000 BTC. The broader distribution phase began in August 2025 (after BTC hit $124,000), after which Bitcoin struggled to sustain a rally significantly higher.

BTC spot market data supports the recovery. Throughout 2026, the average BTC order size has ranged between 950 BTC and 1,100 BTC, the most consistent stretch of large-ticket activity since September 2024.

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Similar clusters appeared during the February–March 2025 correction. During that phase, retail orders accounted for the majority of activity, while large blocks appeared more intermittently and in smaller clusters.

Cryptocurrencies, Bitcoin Price, Markets, Cryptocurrency Exchange, Binance, Price Analysis, Market Analysis, Liquidity, Whale
Bitcoin spot average order size. Source: CryptoQuant

Related: ‘Resilient’ Bitcoin holders defend BTC, but bear floor sits 20% lower: Glassnode

BTC exchange flows spike to 14-month highs

CryptoQuant analyst Maartunn reported $8.24 billion in whale BTC exchange flows moved into Binance over the past 30 days, marking a 14-month high. Retail flows reached $11.91 billion and have flattened over the same period. The retail-to-whale ratio now sits at 1.45, and it continues to drop as the larger-size deposits increase.

Cryptocurrencies, Bitcoin Price, Markets, Cryptocurrency Exchange, Binance, Price Analysis, Market Analysis, Liquidity, Whale
Binance whale to exchange flows. Source: CryptoQuant

Parallel to these inflows, Glassnode data shows gross exchange whale withdrawals averaging 3.5% of total exchange-held BTC supply over a 30-day period, the strongest pace since November 2024.

Based on current exchange balances, that translates to roughly 60,000–100,000 BTC in withdrawals over the past month. 

While gross inflows into exchanges have also increased, the elevated withdrawal ratio suggests that much of that incoming BTC is being offset by strong outbound transfers, leaving net exchange balances relatively stable.

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Cryptocurrencies, Bitcoin Price, Markets, Cryptocurrency Exchange, Binance, Price Analysis, Market Analysis, Liquidity, Whale
BTC exchange whales outflow. Source: Glassnode

Related: Quantum fears aren’t behind Bitcoin’s 46% drop, says developer