Investors Question True Value as Public Bitcoin Firms See Market Caps Fall Beneath Their BTC Assets
The once high-flying bitcoin treasury sector is now facing a harsh reality: many firms’ market valuations have fallen below the value of the bitcoin they hold, signaling deep investor pessimism and waning confidence in the broader digital asset market.
According to recent market data, top pure-play bitcoin treasury companies — including KindlyMD, Strive, and Capital B — are now trading at less than 1x their modified net asset value (mNAV). This means investors currently value the firms at less than the worth of their bitcoin holdings.
“The market is signaling concern about balance sheet leverage and sustainability,” said one digital asset analyst based in New York. “These discounts show that sentiment is extremely fragile, even with bitcoin holding steady.”
Corporate Valuations Dip Despite Large BTC Holdings
Semler Scientific, which began accumulating bitcoin in mid-2024 and now holds over 5,000 BTC, trades near 0.80x mNAV, reflecting a share price that has barely moved since the company started its bitcoin strategy. Meanwhile, Strive, which holds 5,885 BTC, trades at only 50% of its BTC value following a steep post-SPAC merger decline of nearly 90%.
Other notable names, including KindlyMD (0.50x mNAV), Capital B (0.75x), and The Smarter Web Company (0.72x), are all deeply discounted compared to their net bitcoin assets. Even Metaplanet, once seen as a bullish leader, now trades at 0.98x mNAV.
“These firms were trading at significant premiums during the 2024 bull run,” noted a Tokyo-based market strategist. “But with investor optimism fading, we’re seeing a full rotation into defensive pricing.”
Possible Recovery Hinges on Bitcoin’s Next Move
Some firms are attempting to close the valuation gap. Empery Digital recently secured a $100 million credit facility to fund stock buybacks, while Sequans Communications authorized repurchases covering 10% of its shares. However, both stocks continued to fall after these announcements, underscoring how fragile confidence remains.
Among major players, Strategy (MSTR) is the only firm still trading at a premium — around 1.39x its BTC holdings, though that premium has narrowed sharply from 2024 highs.
While history shows such discounts can offer long-term opportunities, analysts caution that a sustained recovery will likely depend on a broader rebound in bitcoin’s price and market sentiment. Until then, bitcoin treasury companies remain under pressure — trading below the value of their own reserves.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.