Metaplanet Slashes Executive Share Pool by 41% After Backlash

Metaplanet moved to appease investors this week by canceling 131 million shares tied to its executive reward pool. The company reduced its incentive stake by 41.1% in response to complaints regarding potential stock dilution. In addition to the cuts, the board scrapped a plan for a new executive incentive vehicle and pushed the maturity dates for remaining warrants further into the future.

The conflict stemmed from a compensation structure that grew automatically as the company issued new shares to fund its Bitcoin treasury. With the share count rising significantly over the past two years, shareholders argued that the executive pool expanded unfairly without additional oversight. CEO Simon Gerovich acknowledged the criticism, noting that the company failed to communicate these governance changes effectively to its supporters.

The reduction aims to protect shareholder value, with the company estimating that Bitcoin per fully diluted share will rise by roughly 8.8%. While the stock price showed a modest recovery in Tokyo trading, the long term impact remains unclear. Investors are now waiting for the company to reveal a new compensation strategy developed by outside consultants.

Looking ahead, the market will keep a close watch on how the firm structures future rewards for its leadership. Shareholders who successfully forced this reversal are expected to scrutinize the upcoming plan, as they look for clearer governance and better alignment between executive pay and company performance.