The corporate Bitcoin reserve model is losing its appeal. According to DWF Ventures, of the top 20 largest crypto-reserving companies, only four now have stock values higher than the value of the crypto they hold: Bit Digital, Strive, Hyperliquid Strategies, and BitMine. The stock performance of most of these companies has lagged significantly behind simply buying crypto directly. French semiconductor company Sequans has sold its remaining 314 BTC and no longer holds any crypto. Galaxy has warned that when a company’s stock trades below the value of its assets, issuing additional shares to buy crypto harms shareholders, and this model is beginning to break down.
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