Crypto Treasuries Take a Hit as Month-Long Market Slump Erodes Balance Sheets

The extended crypto downturn has left a deep mark on digital asset treasury companies, exposing the fragility of a business model built around holding volatile crypto assets on corporate balance ￰0￱ Takeaways: Digital asset treasury companies are under heavy pressure as the month-long crypto downturn erases billions in balance sheet value. XRP-focused Evernorth has recorded $78 million in unrealized losses, while BitMine faces $2.1 billion in paper losses on its Ether ￰1￱ warn that many treasuries risk collapse as their market net asset value (mNAV) ￰2￱ and Ether have both fallen sharply over the past month, and with them, the valuations of firms that rely heavily on these holdings for their ￰3￱ Faces $78M Unrealized Loss Amid Mounting Pressure on Treasury Firms A new analysis by on-chain data firm CryptoQuant highlighted the pressure facing such companies, naming Evernorth, an XRP-focused treasury, as a key ￰4￱ firm has reportedly suffered $78 million in unrealized losses on its XRP position just weeks after acquiring the ￰5￱ established giants like Strategy (MSTR), the original Bitcoin treasury play, have been hit hard.

Strategy’s stock has dropped 26% over the past month amid Bitcoin’s pullback, and is now trading more than 50% below its all-time high, according to Google Finance. Still, the company remains in the green on its Bitcoin reserves, with an average cost basis around $74,000 per BTC, according to data from ￰6￱ pain isn’t limited to Bitcoin treasuries. BitMine, the largest Ether-holding corporation, is now sitting on roughly $2.1 billion in unrealized losses tied to its 3.4 million ETH ￰7￱ firm acquired over 565,000 ETH in the past month alone, deepening its exposure to Ethereum’s price ￰8￱ is under pressure, and so are the Treasury ￰9￱ just those holding BTC, but altcoin treasuries too.

Example: Evernorth’s $XRP stake is already down $78 million in unrealized losses, barely 2.5 weeks after ￰10￱ that’s not all ￰11￱ — ￰12￱ (@cryptoquant_com) November 7, 2025 The selloff has reignited debate over the sustainability of digital asset treasury companies (DATs), firms that mirror Bitcoin’s “digital gold” thesis by holding crypto as a strategic ￰13￱ have warned that many DATs are facing severe valuation stress as their market net asset value (mNAV) collapses in tandem with crypto ￰14￱ venture analysts, including those at Breed Capital, argue that Bitcoin-focused treasuries may be the most resilient, while others liken the current environment to the dot-com ￰15￱ Says Treasury Crypto Boom Has Peaked Galaxy Digital CEO Michael Novogratz believes the wave of new crypto treasury companies has likely hit its peak , with attention now shifting to which existing firms can scale and ￰16￱ during Galaxy’s Q2 earnings call, he said, “We’ve probably gone through peak treasury company issuance,” signaling a more competitive phase ￰17￱ boom in treasury-based crypto firms was fueled by favorable U.

S. regulations, with companies like Strategy, GameStop , Trump Media , and SharpLink allocating reserves to Bitcoin, Ethereum, and other digital assets. However, Novogratz warned that saturation could make it harder for newcomers to gain traction, especially as Ethereum-focused treasuries like BitMine and SharpLink continue to ￰18￱ to a new report by 10x Research, retail investors chasing Bitcoin exposure through public companies like Metaplanet and Michael Saylor’s Strategy have lost an estimated $17 ￰19￱ firm said the losses stem from share premiums that once priced these companies far above the value of their Bitcoin holdings, premiums that have now evaporated.