The surge of “digital asset treasury” strategies among corporations is rapidly losing momentum as companies scramble to offload their crypto holdings to stabilize falling share prices. This trend emerges amidst a broader cryptocurrency market decline, which has erased nearly a trillion dollars in value.

Leading the downturn is Strategy, headed by Michael Saylor, the largest corporate Bitcoin holder worldwide. Over the past three months, its stock has plummeted by 50%, impacting many similar firms that adopted aggressive crypto-investment strategies.

Since reaching a peak market capitalization of $176 billion in July, these companies have collectively shed approximately $77 billion in value, according to industry data. Many are now liquidating their crypto assets to shore up investor confidence and prevent further declines.

Financial experts warn that such sell-offs reflect a broader market correction, emphasizing the risks of heavy reliance on volatile digital assets. This situation raises questions about the sustainability of corporate crypto strategies amid ongoing market turbulence.

David Nield

Dave is a freelance tech journalist with over 20 years covering gadgets, apps, and the web. From Stockport, England, he covers news, features, and reviews for TechRadar, focusing on phones, tablets, and wearables. He ensures top weekend breaking news and has bylines at Gizmodo, T3, PopSci, and others. He edited PC Explorer and The Hardware Handbook for years. Read me on x.com or linkedin.