Corporate Bitcoin Adoption Surges 26.60% in 90 Days, Coinbase Warns of Systemic Risks

Coinbase Institutional has recently released a report highlighting the systemic risks associated with the growing trend of corporate Bitcoin adoption. The report, authored by David Duong, Global Head of Research at Coinbase Institutional, warns that while the trend of companies buying Bitcoin could accelerate market growth, it also poses significant risks to the crypto market's stability.

The report identifies leveraged corporate crypto holdings as a primary concern. Companies using debt to accumulate digital assets could face liquidity issues if market conditions deteriorate or if debt maturities approach. This could force these companies to sell large portions of their crypto reserves to meet obligations, potentially amplifying market volatility. As of mid-2025, approximately 228 publicly traded firms collectively hold more than 820,000 BTC, with around 20 of those firms pursuing leveraged acquisition strategies. While these strategies have not yet created immediate instability, the lack of standardized funding models could become problematic over time.

Coinbase estimates that most of the outstanding debt from these firms won’t mature until 2029 or later, which may help mitigate short-term risk. However, Duong cautions that systemic vulnerabilities remain difficult to track, and broader corporate interest in this model continues to grow, leaving open questions about how resilient these strategies will be under future market pressure.

The report also notes that the US regulatory environment is evolving, with pending legislation such as the GENIUS, STABLE, and CLARITY Acts potentially reshaping the crypto market. These bills aim to clarify oversight roles between the SEC and CFTC, define stablecoin standards, and provide guardrails for institutional and retail engagement. Meanwhile, the SEC is reviewing roughly 80 crypto ETF applications, with decisions expected between July and October.

Despite these risks, Coinbase maintains a bullish stance for the second half of the cryptocurrency market. The firm's analysis indicates that broader macro trends, institutional adoption, and regulatory progress will support continued expansion through the end of 2025. The firm expects Bitcoin to reach a new all-time high, driven by factors such as anticipated Federal Reserve rate cuts, stabilizing economic indicators, and bipartisan legislative momentum around crypto policy. Select altcoins are also positioned to benefit based on project-specific fundamentals.

David Duong’s research notes a potential for increased market liquidity due to these changes, while still underscoring systemic risks connected to leveraged purchases. The Bitcoin holdings by public companies have now exceeded 88 billion dollars, inspired by strategies similar to MicroStrategy’s Bitcoin leverage model. While the rise of publicly traded crypto vehicles brings a new source of demand for crypto, it also raises concern over potential systemic risks; for example, as forced selling from convertible bond maturities could introduce market-wide liquidations.

More than 130 public companies have adopted Bitcoin-backed balance sheets, following MicroStrategy’s example—a significant leap from past trends. Bitcoin’s latest market data provides a snapshot of current trends: BTC is valued at $105,081.58, maintaining a market cap of $2.09 trillion. Market dominance holds firm at 63.78%, with a 90-day price positive change of 26.60%. Corporate Bitcoin adoption aligns with regulatory shifts, and insights project further enhancements in crypto treasury management practices. Coinbase Institutional anticipates substantial Bitcoin allocations in corporate treasuries leading to robust market integration and closer collaboration between public companies and digital asset platforms.