Metaplanet’s enterprise value sinks below its bitcoin holdings

Japanese public company Metaplanet is the latest bitcoin treasury whose enterprise value has dropped below its bitcoin holdings, with the stock sinking 12% Tuesday.

Metaplanet, the fourth-largest bitcoin treasury, has 30,823 bitcoin and saw its mNAV (“the ratio of its market capitalization and debt to its token holdings,” according to Bloomberg) drop to 0.99, per its website. Shares are down 19% in the past month, while bitcoin is down 4% over the same time frame.

Greg Cipolaro, global head of research at NYDIG, wrote that while investors “might’ve been enticed by some eye-popping short-term gains by some of the early DATs [digital asset treasuries],” most of the gains exist “only on paper for most investors.”

“When liquidity is finally unlocked, investors are finding in many cases that gains, if any, are hard to come by, and some are stuck with losses. Investors are beginning to recognize these dynamics, and coupled with the lack of clear strategy differentiation among DATs, this has led to significant underperformance of DATs relative to bitcoin,” Cipolaro wrote.

Bitcoin, meanwhile, dropped to the $110,000 range Tuesday morning, down 4% in the past 24 hours, as tariff battles and uncertain domestic and geopolitical climates continue to weigh on the crypto market overall.

Despite the weekend’s massive liquidations, Citi analysts wrote that their 12-month forecast for bitcoin remains unchanged, at $181,000, “predicated on continued flows, while the bear case is likely if we see equity weakness.” Citi’s year-end forecast is still $133,000.

Nic Puckrin, cofounder of Coin Bureau, said that the weekend sell-off is a brutal reminder that as the crypto market grows and matures, the risks are amplified.

“In this environment, thin liquidity, overleverage, and the involvement of big players make for a toxic cocktail,” he said, adding that bitcoin now faces another uphill battle to break past key resistance levels that will allow it to reach a meaningful new all-time high this year.

Bitcoin ETFs also bled out on Monday, with $326.52 million in outflows. BlackRock’s iShares Bitcoin Trust was the sole fund seeing inflows yesterday, amassing $69.3 million, SoSoValue data shows.