New research from Animoca Brands reveals corporations including MicroStrategy are increasingly holding cryptocurrencies like Bitcoin and altcoins BNB, TRX, HYPE, and FET as strategic treasury reserves. This institutional shift toward digital assets is reshaping traditional corporate finance strategies.
Companies incorporating these tokens into their portfolios have experienced dramatic stock performance surges, according to the study. Data indicates average daily stock price increases of 150%, weekly gains of 185%, and monthly growth of 226% among corporations adopting crypto treasury strategies.
Despite the potential rewards, the report cautions investors about significant associated risks. Limited market liquidity during sell-offs and experimental technological frameworks governing altcoins could amplify losses during market downturns, potentially eroding the value of corporate crypto reserves in volatile conditions.