Bitcoin (BTC) and crypto treasury companies pose comparable dangers as collateralized debt obligations (CDOs), securitized baskets of dwelling mortgages and different sorts of debt that triggered the 2007-2008 monetary disaster, Josip Rupena, CEO of lending platform Milo and former Goldman Sachs analyst, advised Cointelegraph.
Crypto treasury corporations take bearer belongings with no counterparty threat and introduce a number of layers of threat, together with the competence of the company administration, cybersecurity, and the power of the enterprise to generate money circulation, Rupena stated. He added:
“There’s this side the place individuals take what’s a reasonably sound product, a mortgage again within the day or Bitcoin and different digital belongings at this time, for instance, they usually begin to engineer them, taking them down a route the place the investor is not sure concerning the publicity they’re getting.”
Rupena advised Cointelegraph that whereas he doesn’t anticipate crypto treasury corporations to be the reason for the following bear market, overleveraged companies might “exacerbate” a market downturn by way of pressured promoting, however it’s nonetheless too early to inform what the precise results shall be.
A number of market analysts have issued warnings concerning the potential of overextended crypto treasury corporations to trigger a market-wide contagion by way of pressured promoting, miserable crypto costs in a rush to cowl money owed.
Associated: Peter Thiel vs. Michael Saylor: Crypto treasury wager or bubble?
Corporations diversify into altcoin holdings, leaving market traders divided
Conventional monetary corporations are going past the Bitcoin treasury technique popularized by BTC advocate Michael Saylor and diversifying into altcoin treasuries.
Throughout July and August, a number of companies introduced Toncoin (TON), XRP (XRP), Dogecoin (DOGE), and Solana (SOL) company treasury methods, for instance.
Corporations adopting crypto treasury methods have seen combined results on their inventory costs, as markets react to the rising tide of corporations pivoting to digital belongings.
Security Shot, a maker of well being and wellness drinks, introduced it will undertake the BONK (BONK) memecoin as its major reserve asset in August, sending shares of the corporate plummeting by 50% on the information.
Equally, the share costs of many Bitcoin treasury companies have slumped within the second half of 2025, as the sector turns into more and more crowded.
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