- Many crypto treasury firms are trading below the value of their holdings.
- Yield generation is emerging as a key survival factor.
- ETFs are pulling investors away from weaker treasury models.
The fast rise of crypto and Bitcoin treasury companies may give way to a painful shakeout in 2026. Industry executives warn that many of these firms—created to give public market investors exposure to digital assets—are struggling to justify their valuations as market conditions tighten.
Digital asset treasury (DAT) companies surged in popularity throughout 2025, riding Bitcoin’s rally and investor appetite for equity-based crypto exposure. But as prices cooled and competition intensified, cracks in the model have become harder to ignore.
A Crowded Trade Loses Momentum
According to industry leaders, the core issue is oversupply. Dozens of treasury companies launched within a short window, all chasing similar strategies: raise capital, buy crypto, and let rising prices do the work. That approach worked while markets were climbing.
Now, share prices across the sector have dropped sharply, pushing many firms below their crypto net asset value (mNAV)—a red flag for investors. Executives say altcoin-focused treasuries are the most vulnerable, as smaller assets struggle to sustain market confidence during downturns.
Even flagship treasury companies tied to major assets like Ethereum or Solana may not be immune if market pressure persists into 2026.
Yield, Not Hoarding, May Decide Survivors
A recurring theme among executives is that holding crypto alone is no longer enough. Firms that treated accumulation as a branding exercise rather than a financial strategy are now under strain, especially those forced to sell assets to cover operating costs.
In contrast, treasury companies that integrated yield generation—using onchain tools, collateralized lending, or structured income strategies—performed better during 2025’s volatility. These firms treated Bitcoin as working capital, not a static reserve.
The message from insiders is clear: survival depends on evolving from speculative exposure into disciplined treasury management.
Also Read: Chainlink’s Quiet Transformation: Why Oracles Are Becoming Crypto’s Most Critical
ETFs Raise the Bar
Another challenge is competition from crypto ETFs. For many investors, ETFs now offer regulated, liquid exposure to Bitcoin and other digital assets—often with added yield features. That puts pressure on treasury companies to explain why their model deserves a premium.
To compete, executives say DATs must adopt traditional finance standards, including clearer disclosures, robust audits, and professional risk management. Without those safeguards, investor capital may continue flowing toward ETFs instead.
The Bitcoin treasury boom of 2025 created dozens of new market players. But heading into 2026, only a smaller, more disciplined group is likely to remain. Companies that fail to generate yield, manage risk, and meet institutional expectations may not survive the next market cycle.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of CoinBrief.io. Before making any investment decisions, you should always conduct your own research. CoinBrief.io is not responsible for any financial losses.
