Explainer-What are bitcoin treasury strategies, the latest trend in the public markets?
Donald Trump
, have been going on a cryptocurrency buying spree, capitalizing on higher token prices and a softening regulatory environment to load up on the attention-grabbing investment.
Sixty-one publicly-listed companies not primarily engaged in digital assets have adopted what are known as bitcoin treasury strategies, in which firms allocate a portion of their cash and reserves toward the world's largest cryptocurrency, according to a report from Standard Chartered.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
Not Sold in Stores. Recommended Quietly by NHS Staff
showbizinsider
Learn More
Undo
Here is what you need to know about the trend:
Play Video
Pause
Skip Backward
Skip Forward
Unmute
Current Time
0:00
/
Duration
0:00
Loaded
:
0%
0:00
Stream Type
LIVE
Seek to live, currently behind live
LIVE
Remaining Time
-
0:00
1x
Playback Rate
Chapters
Chapters
Descriptions
descriptions off
, selected
Captions
captions settings
, opens captions settings dialog
captions off
, selected
Audio Track
default
, selected
Picture-in-Picture
Fullscreen
This is a modal window.
Beginning of dialog window. Escape will cancel and close the window.
Text
Color
White
Black
Red
Green
Blue
Yellow
Magenta
Cyan
Opacity
Opaque
Semi-Transparent
Text Background
Color
Black
White
Red
Green
Blue
Yellow
Magenta
Cyan
Opacity
Opaque
Semi-Transparent
Transparent
Caption Area Background
Color
Black
White
Red
Green
Blue
Yellow
Magenta
Cyan
Opacity
Transparent
Semi-Transparent
Opaque
Font Size
50%
75%
100%
125%
150%
175%
200%
300%
400%
Text Edge Style
None
Raised
Depressed
Uniform
Drop shadow
Font Family
Proportional Sans-Serif
Monospace Sans-Serif
Proportional Serif
Monospace Serif
Casual
Script
Small Caps
Reset
restore all settings to the default values
Done
Close Modal Dialog
End of dialog window.
Crypto Tracker
TOP COIN SETS
Crypto Blue Chip - 5
-1.26%
Buy
DeFi Tracker
-1.33%
Buy
BTC 50 :: ETH 50
-1.47%
Buy
Web3 Tracker
-7.06%
Buy
AI Tracker
-8.19%
Buy
TOP COINS
(₹)
XRP
197 (
5.47%
)
Buy
Ethereum
226,895 (
3.33%
)
Buy
Solana
13,487 (
2.87%
)
Buy
Bitcoin
9,242,172 (
1.52%
)
Buy
BNB
56,541 (
1.33%
)
Buy
WHY ARE COMPANIES DOING THIS?
Many of those companies are seeking to replicate the success of Strategy, formerly known as MicroStrategy, a software company that began accumulating bitcoin in 2020 and now holds more than $63 billion worth. Its stock is up more than 3,000% since 2020 as the price of bitcoin has skyrocketed, hitting fresh all-time highs above $110,000 this year.
Did you Know?
The world of cryptocurrencies is very dynamic. Prices can go up or down in a matter of seconds. Thus, having reliable answers to such questions is crucial for investors.
View
Details
»
Strategy copycats have doubled their holdings in bitcoin in just the last two months to collectively hold just under 100,000 bitcoin, Standard Chartered said. Those firms include Trump Media & Technology Group, which raised $2.5 billion last month to invest in bitcoin.
Live Events
While investors can readily buy bitcoin directly or through an exchange-traded fund, investors typically cannot get the same kind of leverage a public company might be able to get through the convertible debt
markets
to buy bitcoin. Companies like Strategy trade at a
premium
to their bitcoin holdings because investors believe that those firms can utilize their access to
credit
markets to purchase even more bitcoin.
Strategy and Trump Media & Technology Group did not immediately respond to requests for comment.
WHICH COMPANIES ARE DOING THIS?
Besides Strategy and Trump Media & Technology Group, a joint venture announced in April between SoftBank, stablecoin issuer Tether, and Cantor Fitzgerald - previously helmed by U.S.
Commerce
Secretary Howard Lutnick - caught investors' attention. The group is launching a $3.6-billion venture called Twenty One with the goal of acquiring bitcoin.
SolarBank, a Toronto-based solar energy company, announced this month it would implement a bitcoin treasury strategy, saying it would expose the company "to a new category of tech-savvy investors." SolarBank has not disclosed how much bitcoin it plans to buy, only saying that the allocation strategy will be determined by management.
"Traditionally, people invest in utilities as (an) afterthought. It's a very low return. It's a stable return," said SolarBank CEO Richard Lu. "So, how do we bridge the excitement of the new world and a classic industry? We feel that the crypto part of that is a bridge we need to cross."
Upexi, a consumer products company, recently launched a treasury for Solana, another top cryptocurrency.
"It is a great way for a company to really bring attention to itself and grow," said Brian Rudick, the firm's chief strategy officer.
"If a company has a fiduciary duty to do what's best for shareholders, and if you're going to raise funds and invest it in the operating business, or if you can invest in funds and put it into a digital
asset
treasury that the market is rewarding companies that do so, you should do the latter," Rudick said.
WHY NOW?
The trend comes as Trump has sought to overhaul U.S. cryptocurrency policy after courting cash from the industry on the campaign trail. He signed an executive order in March to establish a strategic bitcoin reserve and has hosted industry leaders at the White House. Those moves have boosted the price of bitcoin and other cryptocurrencies.
"It may be that some firms are trying to get political attention. This is clearly something President Trump has signaled his interest in," said Chester Spatt, a finance professor at Carnegie Mellon University.
The stark shift in policy under Trump "is a serious tailwind for more and more institutions to get into the space," said Roshan Robert, CEO of crypto exchange OKX. "How institutions are looking at building out treasury applications is just a part of that broader picture."
WHAT ARE THE RISKS?
It is unclear if the various crypto treasury strategies will ultimately be successful, particularly if firms are buying in now as prices flirt with record highs in a sector that is no stranger to volatility.
Charles Schwab, in a report last month, noted that if a company has significant crypto holdings that suddenly collapse in value, the firm could experience a
liquidity
crisis. Standard Chartered estimated that if bitcoin were to fall back below $90,000 it would put half of companies' bitcoin treasuries underwater.
"As always, there will be some really, really big winners and some really big losers whenever there's a mania like this," said Ravi Doshi, the global co-head of markets at crypto platform FalconX.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
34 minutes ago
- Mint
Foxconn Q2 Update: Chipmaker sees 16% jump in revenue on AI product demand, flags THESE risks going ahead
Foxconn Q2 update: Taiwan-based Foxconn or Hon Hai Precision Industry Co earned record revenue in the second quarter, driven by high demand for artificial intelligence products, while also warning about potential challenges from geopolitical issues and exchange rate fluctuations, reported news agency Reuters. The revenue of the world's largest contract electronics maker has surged 15.82% on a year-on-year basis to T$1.79 trillion, according to a company statement, cited by the agency. The company beat the T$1.7896 trillion LSEG SmartEstimate. Foxconn, Apple iPhones' largest assembler in the world and leading clients such as chipmaker Nvidia, stated that rising demand for AI-driven products has contributed to strong revenue growth for its cloud and networking products division. However, smart consumer electronics, including iPhones, reported 'flattish' year-on-year revenue growth impacted by exchange rates, the agency quoted the company. Foxconn's revenue for June jumped 10.09% year-on-year to T$540.237 billion, a record high for the month. Foxconn stated it expects growth this quarter compared to the previous three months and the same period last year, but also warned about possible risks to growth. "The impact of evolving global political and economic conditions and exchange rate changes will need continued close monitoring," Reuters quoted Foxconn. Notably, US President Donald Trump announced he had signed letters to 12 countries, detailing the tariffs they would face on exports to the US. These "take it or leave it" offers are scheduled to be sent out on Monday. Foxconn operates the world's largest iPhone manufacturing plant in Zhengzhou, China. The tech giant has not released numerical forecasts. It will report full second-quarter earnings on August 14. Foxconn's shares surged 76% last year, significantly outpacing the Taiwan market's 28.5% increase. However, they have decreased by 12.5% so far this year, due to broader pressures on tech stocks amid Trump's trade policies, the report said.
Time of India
41 minutes ago
- Time of India
Horoscope Tomorrow, July 06, 2025: Your zodiac insights await
Aries Your energy levels are likely to bounce back today. Financial gains from an unexpected source are probable. Outsourced projects at work may require close supervision. It's a pleasant day overall, especially with time spent among friends and family. If you're traveling, expect a smooth and comfortable journey. Some may receive an inheritance or property. Academic success appears to be well within reach. Taurus A valuable health tip may work wonders for your well-being. Investing in a financial plan will be a wise move. Industrialists may experience positive developments in diversification and growth. Good news may arrive from someone overseas or out of town. If you're craving a vacation, this is the perfect time to start planning. An inheritance or a generous gift may come your way. Gemini Real estate may bring substantial profits to property owners. A friend might extend financial support if needed. Freelancers and part-timers could find themselves juggling multiple tasks. Plan something special for your family, it'll bring everyone closer. The dream of studying abroad may soon become reality for some. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Providers are furious: Internet access without a subscription! Techno Mag Learn More Undo You're likely to shine in an academic debate or discussion. Cancer Adopting a health-conscious routine could be beneficial. Some may receive financial relief from old arrears. Professionals in white-collar jobs can expect a pay hike. A chance to reconnect with long-lost friends could make the day memorable. Travelers may run into distant relatives or old acquaintances. Academic excellence is within reach. A trusted friend will prove to be a reliable support. Leo Real estate investments could prove highly lucrative. A friend may step in to help you financially. Freelancers and gig workers may be swamped with work. Organizing a special event for your family will bring joy. Studying abroad may soon become a reality for some. Expect to be at the center of an intellectual or academic conversation. Virgo Regular exercise will leave you feeling fantastic. A previous investment may start yielding profits. Following instructions precisely at work will help avoid errors. Today is perfect for spending quality time with family and children. An overseas wedding or event could be on the horizon. A solid academic foundation will make revisions easier and more effective. Libra A new health regime will bring noticeable improvements. Financial matters may not resolve in your favor today, so it's best to avoid taking risks. It's a good time to request a promotion or salary increase. Staying in touch with loved ones will bring mental peace. A travel opportunity may feel like a dream come true. Academically, someone may lend you a helping hand. Your efforts will make a party or event a grand success. Scorpio Taking a late-night break will benefit your health. Financial stability is improving. A power struggle at work may arise, but it could turn out in your favor. A positive family update will spread joy. Some may embark on a luxury holiday. Academic performance will improve with consistent effort. Compliments from others will uplift your spirits. Sagittarius Recovery is guaranteed for those dealing with health issues. A vacation will be worth every penny. Surgeons, lawyers, and architects may see increased income opportunities. Renovating your home or property might become your main focus. Avoid taking exams lightly; it could affect results. Even if provoked, you'll remain content with who you are. Picking up a new hobby could help channel your energy more positively. Capricorn Obsessing over weight loss could lead to harmful habits; moderation is key. Having someone else cover the expenses of an outing will double your enjoyment. A new investment opportunity may prove profitable. Homemakers who manage budgets strictly can benefit greatly. You're still riding high on academic confidence. Doing familiar tasks will help you stay calm and centered. Aquarius A late-night break will help recharge your health. You're well-equipped to handle a financial challenge. Tech professionals are likely to find excellent opportunities today. Those working remotely can expect a productive day. Youngsters may enjoy a drive just for the weather. Your academic life gains emotional strength through your friend circle. Pisces Regular meditation will bring emotional and mental clarity. You may receive a boost in your income or allowance. Avoid neglecting key tasks while prioritizing less important ones. You might attend a close friend's wedding or special event. An official trip could bring peace and clarity. Work or academics will take precedence today. Trust someone close, they're likely to have your best interests at heart. Discover everything about astrology at the Times of India , including daily horoscopes for Aries , Taurus , Gemini , Cancer , Leo , Virgo , Libra , Scorpio , Sagittarius , Capricorn , Aquarius , and Pisces .
Time of India
41 minutes ago
- Time of India
Aries, Weekly Horoscope, July 06 to July 12: Caution Advised Amid Rising Stress and Communication Gaps
For Aries individuals, the week ahead presents a blend of challenges and opportunities. Initial days may bring stress and communication issues. Midweek marks a turning point with renewed confidence. Success in career and education is foreseen. Financial prospects improve later in the week. Health requires attention initially, with recovery expected. Family ties strengthen, and social connections bring joy. The week for Aries natives begins under a cloud of caution and tension. Early on, you may find yourself easily irritated or stressed, especially when traveling or engaging in day-to-day work. The cosmos warns you to be especially vigilant while driving or handling anything mechanical—accidents are more likely if you rush or let your mind wander. Disagreements and communication gaps, both at home and at work, could amplify anxiety, leaving you feeling somewhat off-balance. However, as the week advances, a significant shift emerges. By midweek, the fog lifts, ushering in a period of renewed confidence and clarity. The challenges you face early on may actually propel you to refine your approach, be it in how you manage your schedule, interact with colleagues, or handle family duties. Thursday and Friday bring a series of small victories and positive developments—children or younger family members may make you proud, and your reputation could get a boost in your social circle. The end of the week brings a sense of belonging and connection; family ties strengthen and your presence is valued in group settings. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Open NRI Account in 4 hours HSBC Undo You may be invited to participate in religious or social gatherings, which will prove uplifting. Love and Relationship Romantic and marital ties require extra nurturing this week. The early days could be rocky, with minor misunderstandings threatening harmony. Tempers may flare, and even minor disagreements can escalate if not managed thoughtfully. Singles may find love matters dull or discouraging, with few sparks flying. It's important to refrain from harsh words, as what you say now could linger longer than intended. By Wednesday, the energy softens. If you're in a relationship, make time for one-on-one moments—a simple conversation or heartfelt gesture can repair any rifts. Lovers could get opportunities to reconnect, perhaps through family gatherings or shared projects. Married Aries will notice affection returning by Friday, with romance blossoming unexpectedly and deep emotional exchanges drawing you closer to your partner. The weekend is auspicious for single Aries to meet someone new, possibly in a communal or festive setting. Education and Career The week starts with a few hurdles for both students and professionals. Distractions and delays may challenge your focus, so double-check details and be patient if progress is slow. Debates or differing opinions with colleagues may arise; diplomacy is key. By midweek, a wave of motivation returns—students regain their concentration, and working Aries find themselves completing tasks with greater efficiency and creativity. Recognition is likely for those who persevere. Children's or students' academic achievements may be celebrated. Towards the end of the week, expect positive news at work—a raise, project approval, or simply praise from your superiors. Businesspeople may feel the urge to start new ventures; the cosmic climate supports such moves, particularly if you've done your homework and planned carefully. Money and Finance Financially, the week is a mixed bag. Early on, avoid major investments, especially if they're speculative or risky. Emotional decisions about money could lead to regrets. As the week matures, opportunities for wise investments—perhaps in mutual funds, children's education, or even property—begin to present themselves. Extra money may come your way through family sources, old dues, or as a result of your children's or spouse's efforts. By the weekend, a windfall or unexpected order may benefit those in business. Avoid impulse spending, particularly on luxuries or showy items. Focus instead on growing your savings and exploring ways to stabilize your finances for the coming months. Health and Well-being Health requires attention, especially at the week's start. Stress could manifest as fatigue, minor accidents, or pain (watch out for your legs). Prioritize self-care—rest, nutrition, and gentle exercise will help you recover. By Wednesday, you'll notice a significant improvement; a lighter mood and higher energy levels prevail. Engaging in religious or community activities will have a healing effect, balancing your emotional well-being. If you struggle with sleep or find yourself mentally restless, try relaxation techniques or spend more time in nature. Family support and positive social connections toward the week's end will boost your spirits, leaving you energized for the days ahead. Discover everything about astrology at the Times of India , including daily horoscopes for Aries , Taurus , Gemini , Cancer , Leo , Virgo , Libra , Scorpio , Sagittarius , Capricorn , Aquarius , and Pisces .
