Bitcoin News Today: Bitcoin Treasuries Near 5% of Total Supply as Firms Gamble on Digital Gold

Bitcoin corporate treasuries have reached a significant milestone, with public companies collectively holding over 1,000,698 BTC, valued at more than $111 billion at current prices, according to data from BitcoinTreasuries.NET. This figure represents nearly 5% of all Bitcoin that will ever be mined. Strategy, a company led by Michael Saylor, is the largest holder, with a Bitcoin treasury of 636,505 BTC. Other firms, including MARA Holdings, Bullish, and Metaplanet, have also significantly increased their Bitcoin holdings, indicating a broader shift in corporate strategy toward digital assets as a reserve currency [1].

The trend has been supported by a growing list of public companies—over 184 globally—incorporating Bitcoin into their balance sheets, with 120 of them located outside the United States. These companies span countries including Canada, the UK, and China Hong Kong, showing the global nature of the corporate Bitcoin movement. Some firms have ambitious targets for future Bitcoin accumulation. For example, Japanese firm Metaplanet and U.S.-based Semler Scientific aim to hold 210,000 and 105,000 BTC, respectively, by 2027 [1].

Despite the milestone, challenges are emerging for Bitcoin treasury companies. With only 5.2% of Bitcoin’s total supply remaining to be mined, concerns are rising about potential supply shocks as corporate demand continues to grow. However, the market is showing signs of strain. Sequans Communications, a Paris-based firm that transitioned into a Bitcoin treasury company, recently announced a 10-to-1 reverse stock split to avoid delisting from the New York Stock Exchange. Its shares have fallen 75% year-to-date, illustrating the growing divergence between stock prices and the value of their Bitcoin holdings [2].

This divergence has raised investor concerns. According to Capriole Investments, one in three of the 172 publicly listed Bitcoin treasury companies are trading below their market net asset value (mNAV), meaning their stock is worth less than the Bitcoin they hold. Analysts such as Dom Kwok, a former Goldman Sachs analyst, argue that this trend reflects declining investor confidence in these companies. He suggested that the market is beginning to question whether investing in Bitcoin treasuries is a viable strategy given the ease of direct Bitcoin exposure through platforms like Robinhood, eToro, and spot Bitcoin ETFs [2].

While some analysts remain cautiously optimistic, they acknowledge that macroeconomic factors are currently weighing on Bitcoin treasuries. André Dragosch, European head of research at Bitwise, noted that recent underperformance is due to seasonal factors and a marginal decline in global growth expectations. He predicted that if the Federal Reserve cuts interest rates, it could reintroduce liquidity into the market, potentially restoring a more favorable environment for Bitcoin treasuries [2].

Source:

[1] Bitcoin Treasuries Top 1 Million BTC as Firms Boost Holdings (https://finance.yahoo.com/news/bitcoin-treasuries-top-1-million-045500397.html)

[2] Bitcoin Treasuries Top 1m Bitcoin as Firms Risk Delisting from ... (https://www.dlnews.com/articles/markets/bitcoin-treasuries-top-1m-bitcoin-but-firms-struggle/)