Bitcoin News Today: Corporate Bitcoin Treasuries Reshape Crypto Landscape as MicroStrategy Defies Market Volatility

Michael Saylor, executive chairman of MicroStrategy (MSTR), has firmly dismissed recent rumors suggesting the company is selling Bitcoin to cover debt, even as the firm continues to aggressively expand its digital-asset holdings amid a volatile market. Saylor reaffirmed MicroStrategy's commitment to its Bitcoin accumulation strategy during a Friday CNBC appearance, stating, "We are buying bitcoin," and hinting at accelerated purchases.

The remarks come as Bitcoin (BTC) trades near $95,562, down from record highs earlier this year, and as MicroStrategy's stock has fallen nearly 35% year-to-date.

MicroStrategy's Bitcoin treasury strategy has made it the largest corporate holder of the asset, with over 641,692 BTC-worth approximately $61.3 billion at current prices according to Bloomberg. However, the company's market value has dipped below the net asset value (NAV) of its holdings for the first time in its history, raising concerns about potential liquidity risks. Critics warn that if Bitcoin prices continue to decline, MicroStrategy could face a "death spiral," where falling collateral values force the company to sell assets to meet debt obligations. Saylor, however, remains bullish, arguing that Bitcoin's recent pullback from $125,000 to below $96,000 still represents a strong base for long-term growth.

The company's leveraged position has drawn scrutiny. MicroStrategy has taken on over $47.5 billion in debt to fund its Bitcoin purchases, and analysts like Omid Malekan of Columbia Business School have linked recent crypto price declines to pressure from treasury firms like MicroStrategy. Despite this, crypto analyst Willy Woo has downplayed liquidation risks, noting that MicroStrategy's stock must trade above $183.19 by 2027 to avoid forced sales. At current BTC prices, this threshold remains intact.

MicroStrategy's actions reflect a broader trend of corporate adoption of digital assets. ECD Automotive Design recently partnered with Arca Labs to establish a Bitcoin treasury framework, while Hyperscale Data announced plans to deploy 4,092 Bitmain miners to boost Bitcoin production toward a $100 million treasury goal. Meanwhile, BitMine Immersion Technologies has increased its ether holdings to $8.1 billion, positioning itself as the largest listed ETH treasury firm. These moves underscore a growing corporate appetite for digital assets as both a hedge and a revenue stream.

Saylor's confidence contrasts with market jitters. On-chain data previously showed BTC moving from MicroStrategy-controlled wallets, fueling speculation of sales. Saylor quickly denied the claims on X, stating, "There is no truth to this rumor." He emphasized that Bitcoin's long-term trajectory remains intact, noting that the asset was trading in a $55,000–$65,000 range less than a year ago according to reports.

While the market-to-NAV (mNAV) ratio for MicroStrategy has fallen to 1.24 from a peak of 1.6 in 2024, short-sellers like Jim Chanos of Kynikos Associates believe the gap will narrow further. Chanos recently closed his hedged position, predicting mNAV will approach 1.0x as investor confidence wanes. For now, Saylor's unwavering support for Bitcoin appears to be a double-edged sword: it reinforces the company's role as a market maker for the asset but also exposes it to heightened volatility.

As the crypto market navigates macroeconomic headwinds, MicroStrategy's strategy remains a barometer for institutional sentiment. Whether its aggressive Bitcoin bets will stabilize or exacerbate price swings remains to be seen, but one thing is clear - corporate treasuries are reshaping the digital-asset landscape.