A Japanese-listed company, MetaPlanet, is preparing to launch Bitcoin-backed preferred stock. This new financial product could reshape Japan’s fixed-income market.
With interest rates in Japan staying historically low, MetaPlanet plans to offer yen-denominated securities with high annual yields of 9 to 10 percent, using Bitcoin as collateral.
The Problem in Japan’s Financial Market
Crypto expert Adam Livingston explains that Japanese households hold over 2,200 trillion yen in financial assets. A large portion of this money is sitting in cash or deposits that earn less than 0.23 percent interest.
Meanwhile, Japan’s annual inflation rate stands around 3.5 percent. In October 2024, it was 2.3 percent. It peaked at 4 percent in January 2025 and then stayed between 3.6 and 3.7 percent in the following months. This means most savings are losing value in real terms.
The yield on Japan’s 10-year government bond is currently at 1.45 percent. In March, it was slightly higher at 1.63 percent. Japanese life insurers, who manage about 390 trillion yen, are now seeking better returns to meet long-term obligations.
Livingston also notes that regulators in Japan are encouraging the development of new financial products that offer higher returns without adding foreign currency risks.
MetaPlanet’s Solution: Bitcoin-Backed Preferred Stock
MetaPlanet aims to address this issue by launching a preferred stock backed by Bitcoin. The stock will be issued in Japanese yen and offer high yields of 9 to 10 percent annually.
Bitcoin is known for its long-term price appreciation and is often seen as a hedge against inflation. This makes it an attractive asset to back fixed-income securities.
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Strategic Growth and Bitcoin Accumulation
MetaPlanet is already a major Bitcoin holder, with at least 13,350 BTC, valued at over $ 1.45 billion. Livingston says the company can use funds raised through these preferred stocks to buy more Bitcoin. As their Bitcoin holdings grow, the value of the collateral increases. This could allow MetaPlanet to reduce coupon rates in future offerings and lower its capital costs.
The company’s long-term goal is to accumulate 210,000 BTC, which would comprise approximately 1% of the total Bitcoin supply.
A Major Shift in Japan’s Financial System
Livingston believes this new offering is not just another product. It represents a major shift in Japan’s financial system. A yen-denominated, Bitcoin-backed investment could provide better yields for savers, modernize capital markets, and avoid the risks of foreign currency exposure.
This move could set a new standard for fixed income investments in Japan.
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FAQs
MetaPlanet is addressing Japan’s financial market issues, where over 2,200 trillion yen in savings earn less than 0.23% interest while inflation runs around 3.5%. This new product offers significantly higher returns (9-10%) and is encouraged by regulators seeking new, higher-yielding, non-foreign currency risk financial products.
MetaPlanet is a significant Bitcoin holder, currently possessing at least 13,350 BTC, valued at over $1.45 billion. The company aims to accumulate 210,000 BTC, which would represent approximately 1% of Bitcoin’s total supply, using funds raised from these preferred stocks to expand its holdings.
This new offering provides Japanese savers with much higher yields than traditional deposits or government bonds. It’s expected to modernize Japan’s capital markets by introducing a yen-denominated, Bitcoin-backed investment, offering better returns while avoiding foreign currency exposure, potentially setting a new standard for fixed-income investments.
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