- The number of public companies holding crypto in their treasuries has doubled since early 2024.
- Many of these companies now have a market capitalization below the value of their crypto assets.
- Most firms aim for a market capitalization greater than their crypto holdings, known as a multiple-to-Net Asset Value (mNAV) over one.
- The average mNAV for crypto treasury companies has declined, and more companies are trading at a discount.
- Analysts cite debt and other obligations as reasons why some companies hold an mNAV below one, not just undervaluation.
Since the beginning of 2024, the number of publicly traded companies holding significant amounts of cryptocurrency in their treasuries has doubled. Many of these companies, however, are not meeting their goal of attracting a market premium on Wall Street.
Recent tracking by analytics sites, including BitcoinTreasuries.net, shows that more than a dozen publicly listed firms have a market value lower than the combined worth of their cryptocurrency reserves. The valuation metric most watched—called multiple-to-Net Asset Value (mNAV)—compares a company’s market capitalization with the value of its crypto holdings, leaving out debts and other liabilities.
Data reported by BlockWorks and others highlight that firms want to see an mNAV above one. A figure below one means the market values the company at less than the sum of its crypto assets. A growing number of companies now fall into this category as average mNAVs continue to slide since their peak in May. MicroStrategy, led by Michael Saylor, remains an exception in the sector, often promoted as a benchmark for positive mNAV performance.
Some investors and analysts argue that an mNAV below one does not always signal a buying opportunity or true undervaluation. Factors like debt, outstanding liabilities, and business risks can all lead to a discount. Rational evaluation, especially among the 160-plus observed companies in this sector, includes these considerations to justify current pricing.
Others, particularly bullish investors, see low mNAV ratios as a potential sign that public markets undervalue the underlying assets. As of now, more companies are joining the list of those trading below the value of their digital assets, reflecting shifting confidence in the sustainability of large-scale crypto treasury strategies.
For more information on company rankings and to view related metrics, readers can visit the BlockWorks analytics page.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
Previous Articles:
- Spot Ethereum ETFs Draw $2.3B in Inflows, Outpacing Issuance
- PS1Bot Malware Targets Crypto Wallets via New 2025 Malvertising Campaign
- Shiba Inu Targets 1,000% Rally as Shibarium Hits $1.5B Milestone
- Theta EdgeCloud, Marseille Launch Ligue 1’s First AI Fan Assistant
- Pudgy Penguins CEO’s Instagram Hacked to Promote $IGLOO Token
