Corporate Bitcoin Holdings Raise Credit Risks, Morningstar DBRS Warns

Morningstar DBRS warns that corporate use of bitcoin and other digital assets as treasury reserves could heighten credit risk profiles due to regulatory uncertainty, liquidity challenges, and exposure to exchange counterparties. The firm notes that corporate adoption of crypto treasury strategies is expected to grow, but warns that concentration, volatility, and regulatory complexity could reshape how credit markets assess corporate risk.

The corporate adoption of cryptocurrencies as treasury reserves is evolving rapidly, with a growing number of businesses holding Bitcoin (BTC) and other digital assets. However, a recent report from Morningstar DBRS [1] cautions that this strategy could heighten credit risk profiles due to regulatory uncertainty, liquidity challenges, and exposure to exchange counterparties.

According to Morningstar DBRS, the corporate use of cryptocurrencies extends beyond payments, with a significant portion of companies adopting Bitcoin as core treasury reserves. As of August 19, 2025, BitcoinTreasuries.net reported that approximately 3.68 million BTC, worth about $428 billion, are held across companies, exchange-traded funds (ETFs), governments, decentralized finance (DeFi) protocols, and custodians. This represents about 18% of Bitcoin’s circulating supply [1].

The report highlights several vulnerabilities in corporate crypto treasury strategies. Regulatory uncertainty remains a significant concern, as governments worldwide grapple with how to classify and regulate cryptocurrencies. Additionally, liquidity challenges during periods of volatility can strain corporate treasury management. The sharp price swings of Bitcoin, for instance, can exacerbate these risks. Furthermore, exposure to exchange counterparties poses a security risk, as the stability and reliability of these exchanges can impact corporate holdings [1].

The report also notes that corporate Bitcoin holdings are highly concentrated. One firm, Strategy (MSTR), controls over 629,000 BTC, accounting for 64% of all public-company treasury holdings [1]. This concentration could amplify the impact of any regulatory changes or market volatility on the broader credit market.

Despite these risks, corporate adoption of crypto treasury strategies is expected to grow. Companies like Strategy and MARA Holdings (MARA) are leading this trend. However, Morningstar DBRS warns that the concentration of holdings, volatility, and regulatory complexity could significantly reshape how credit markets assess corporate risk [1].

In parallel, a Dutch firm, Amdax, has announced plans to launch AMBTS B.V., a Bitcoin-focused treasury company aiming to acquire 1% of the total Bitcoin supply—approximately 210,000 BTC [2]. This initiative reflects a growing trend among European firms to integrate Bitcoin into their long-term treasury strategies. AMBTS will function as an independent entity with a governance structure designed to focus exclusively on the acquisition and stewardship of Bitcoin [2].

The U.S. Department of the Treasury is also seeking public feedback on innovative methods and tools for detecting illicit activity in the digital assets industry. This move aligns with the GENIUS Act, which aims to promote responsible growth and use of cryptocurrencies [3].

In conclusion, while the corporate adoption of Bitcoin as treasury reserves presents opportunities for diversification and risk management, it also introduces significant credit risks. Regulatory uncertainty, liquidity challenges, and exposure to exchange counterparties are key concerns that must be addressed to mitigate these risks. As institutional adoption continues to grow, it will be crucial for companies and regulators to work together to ensure the responsible and secure integration of cryptocurrencies into corporate treasury strategies.

References:

[1] https://www.coindesk.com/markets/2025/08/21/corporate-bitcoin-treasuries-could-raise-credit-risks-morningstar-dbrs-says
[2] https://www.ainvest.com/news/bitcoin-news-today-dutch-amdax-launches-bitcoin-treasury-targeting-1-supply-institutional-adoption-surge-2508/
[3] https://crypto.news/treasury-seeks-public-input-on-detection-of-illicit-activity-in-digital-assets/