Crypto Treasuries Fall Deeply Underwater as Bitcoin, Ethereum and Solana Dive
Major digital asset treasury (DAT) firms focused on cryptocurrency holdings, such as Strategy (MSTR) and BitMine Immersion Technologies (BMNR), are facing significant unrealized losses amid a steep decline in crypto prices. BMNR has lost about $8.4 billion on its Ethereum investments, and Strategy holds $9.2 billion in paper losses on Bitcoin. In the past week, Bitcoin fell 24% and Ethereum plunged nearly 34%. The losses reflect only firms whose core business is crypto holding, excluding exchanges, mining firms, or traditional companies holding crypto. Despite extensive losses, Strategy’s chairman, Michael Saylor, remains publicly committed to holding Bitcoin, though recent comments suggest openness to selling if necessary. Prediction markets now estimate a 32% chance that Strategy will sell BTC this year. Across the sector, Artemis reports over $25 billion in combined unrealized DAT losses, including major hits to treasury firms holding Solana, Hyperliquid, and BNB. The situation has sparked criticism from both financial analysts and figures within the crypto industry, raising questions about the sustainability of the DAT business model.
