Metaplanet Avoids PFIC Status in 2025, Calms U.S. Tax Fears

Metaplanet has confirmed it is not expected to be classified as a Passive Foreign Investment Company (PFIC) for the 2025 tax year. The announcement came after the company conducted a formal review with leading U.S. legal and tax advisors. CEO Simon Gerovich disclosed the update publicly. He cites the company’s structure and operations as key factors in the assessment.

The PFIC status can impose strict tax implications on American shareholders of foreign companies. Companies are typically labeled as PFICs if 75% or more of their income is passive. Or, if 50% or more of their assets are passive income-generating. Metaplanet’s structure did not meet these thresholds.

Why It Matters for U.S. Shareholders

Metaplanet’s growing American investor base had raised concerns over potential PFIC classification. Which could have resulted in higher tax liabilities or complex filing requirements. The company, listed on Japan’s Tokyo Stock Exchange and the U.S. OTCQX. Now reassures those investors that its current operations avoid that scenario.

The PFIC review considered the company’s Bitcoin-focused treasury model, asset composition, and income sources. Advisors concluded that, based on 2025 operations and current law, Metaplanet remains clear of PFIC classification. The company stated it will continue to monitor its status annually.

Caution and Disclosure Policy

Although Metaplanet does not expect to be classified as a PFIC. It warned that future changes to its business or tax law could alter this outlook. The company committed to full transparency and compliance with the Tokyo Stock Exchange’s disclosure rules. Metaplanet will promptly disclose any change that may affect its PFIC status. U.S. investors should still consult their tax advisors, since PFIC rules remain complex and vary case by case.

Bitcoin Holdings Surge

This PFIC update arrives amid a bullish period for Metaplanet. The company now holds over $2 billion in Bitcoin, having added $567 million in the past month alone. This aggressive accumulation strategy has positioned it as one of Asia’s most prominent corporate Bitcoin holders.

Metaplanet’s legal clarity and crypto-forward stance continue to attract attention from institutional investors navigating the intersection of tax compliance and digital asset exposure.