Not all Bitcoin holding firms will avoid death spiral, new report says
2025-07-04 05:46:29
Main Idea
Corporate adoption of Bitcoin is rapidly increasing, with nearly 200 entities holding over 3 million BTC, but a new report highlights risks and the importance of strategic execution for these firms.
Key Points
1. Nearly 200 entities now hold over 3 million BTC, valued at approximately $315 billion, with corporate holdings more than doubling since early 2024.
2. Strategy dominates corporate Bitcoin holdings with about 580,000 BTC, valued at $60 billion, and has a market capitalization of $104 billion, giving it an MNAV of 1.7 times.
3. The report outlines three main levers Strategy has used since 2020 to grow Bitcoin holdings per share, though specifics are not detailed in the provided content.
4. The report warns of risks, noting that during the 2022–23 bear market, Bitcoin’s price dropped 80%, MNAV premiums collapsed, and capital dried up, though contagion risk is muted as most financing is equity-based.
5. The game is evolving, with Bitcoin treasury firms needing strong leadership, disciplined execution, and savvy marketing to maintain a lasting MNAV premium.
Description
Nearly 200 companies now hold billions in Bitcoin, but a new report cautions that only a few can avoid the dangers of a potential death spiral. Bitcoin’s ( BTC ) corporate adoption is accelerating fast, with nearly 200 entities now holding over 3 million BTC on their balance sheets. But as new players seem to rush in, only those who can skillfully grow their Bitcoin holdings per share are more likely to survive the risks ahead. As of May 2025, about 199 entities reportedly hold 3.01 million BTC,...
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