Metaplanet's Executive Stock Pool Sparks Shareholder Backlash Over Dilution Concerns

Metaplanet's executive stock pool has drawn criticism from shareholders over concerns of dilution. The company, a Japanese Bitcoin treasury company, designed its 10th Series executive option pool to make up 20% of fully diluted shares and automatically expanded as new shares were issued to fund Bitcoin accumulation.

Shareholders expressed their objections across social media platforms, asking Metaplanet to cancel the additional 273 million shares created from the changes and provide more transparency on future decisions. The company had frozen the pool at 319.5 million shares on August 18, but critics argue that this magnified dilution for existing shareholders.

BTC Magazine CEO David Bailey defended Metaplanet's executive stock model, stating that giving the team 20% of the cap table over five years 'isn't some crazy number.' He also mentioned that his company had invested in Metaplanet since its inception.

Pseudonymous shareholder Bitcoin Pharaoh pointed out that Bailey personally benefited from Metaplanet's stock options, receiving 300,000 options at a 105 Japanese yen strike price when the stock was trading at 510 yen. This resulted in a significant portion of profits going to management, with 'management taking one' for every four coins shareholders contributed.