The corporate treasury function – historically rooted in conservative cash management – is undergoing its greatest transformation in decades. The revolution actually started with Michael Saylor in strategy – who owns it now Over 3% of the total bitcoin supply – But strategy is no longer the only player in the Bitcoin Treasury space. Estimates show that corporate treasuries are holding up now A million BTC between them, worth more than $120 billion worth of assets as of October 2025.
The thesis for this approach is rooted in the same thesis for why we as individuals buy and hold Bitcoin. In an era of financial debasement, the rational being will look for an asset that emits the deleterious effects of debasement. As the money printing continues and the markets continue to react (See Gold Trading at $4000+), it is inevitable that every public company will eventually embrace a Bitcoin Treasury strategy.
The case for a corporate Bitcoin Treasury
The traditional corporate playbook risks not just underperformance, but a breach of fiduciary duty as cash reserves bleed at the altar of money printing. Bitcoin, however, offers a finite-supply, peerless asset with a decade-plus track record of compounding value in real terms.
The beauty of the Treasury strategy is not just the holding of bitcoin itself; But the ability provides companies to use the capital markets. Unlike the place ETFScompanies can issue equity at premiums to Net Asset Value (NAV), raise convertible debt with low or even zero coupons, and strategically time both market access and bitcoin purchases. In practical terms, this means that companies with Bitcoin ownership can use the market structure to grow bitcoin holdings per share over time.
The network effect is now being proven again. As every successful Bitcoin Treasury company shows flexibility, rejection of doubt in the capital market, and the necessary financial infrastructure (custody, reporting, convertible debt) matures.
Most compelling is the MNAV Value-Creation Paradox: Trading at a premium allows companies to issue shares, buy more bitcoins, and increase BTC per share (BPS) for existing shareholders. For example, the strategy delivered a 74.3% BTC yield by 2024, so long-term holders saw their underlying Bitcoin stake increase by that amount through corporate actions—not just market appreciation. This is a financial restructuring for treasury management.
But why would a rational investor pay such premiums?
Public companies are raising debt below the long-term rate of Bitcoin appreciation, fueling the BTC-per-share surge. From 2020 – 2025 the compound annual growth rate of Bitcoin is 64%. Future projections suggest an environment where BTC will continue to compound on average between 25-35%, so if funding costs are 8%, the spread will remain with shareholders.
If BTC-per-share grows faster than dilution, shareholders benefit. The Resonant Flywheel is: MNAV Premium → Capital Raise → More BTC → Higher Bitcoin Per Share → Sustained Premium → Next Raise.
Seen through a different lens, many jurisdictions and markets have different rules regarding access to Bitcoin for both investors and retail investors. In the UK alone, by October 2025 an enormous amount of capital (£1.4 trillion) will be trapped in personal pensions and efficient savings vehicles (ISAs). For this capital, exposure to Bitcoin through Treasury companies is often the easiest way to generate a high alpha return to a portfolio.
The highs and the lows of MNAV
Since the high of summer 2025, we have seen a massive fall in the MNAVs of all BTC Treasury companies due to a mix of stagnant price action and poor community sentiment, some of the early adopters declined 90% in a matter of weeks from their highs – challenging investor sentiment and trying to convince companies.
As a share premium over NAV, MNAV is fundamentally built on a foundation of sentiment and fundamentals.
Bitcoin Treasury’s success depends on building investor trust through transparent reporting and consistently convincing Bitcoin, paired with foundations such as maximizing BTC yield through accretive capital increases, optimizing leverage at market peaks, keeping MNAV above 1.2x, and it defends share buybacks and debt reductions. During a bear cycle, every company’s conviction will be tested—those who remain convinced and take the longer view will be rewarded. The main solution to maintaining the playbook during a bear cycle is to have a profitable operating business: this will allow a constant flow of cash to start accretive share buybacks if the MNAV drops below one. It also allows the ability to buy bitcoin at a discount without diluting shareholders.
Many companies entered the space with very small, minimally profitable operating businesses – for example, Metaplanet was a failed small hotel chain. These companies look to the flywheel to survive the business. It works well when times are good, as seen in June of this year, where it seemed any company could command a premium. But when the price of Bitcoin falls, sentiment returns to extreme bearishness and investors feel disinterested in the riches, the weaknesses will be exposed.
The key to building a truly profitable operating business is maintaining consistent revenue and growth, while strategically adding a Bitcoin Treasury. When a company remains both profitable and expanding, a market valuation below an MNAV of 1 can only be attributed to irrational sentiment – effectively misrepresenting the business as “dead.” By combining a stable core business and stable or growing operating profits with a growing bitcoin reserve, companies can position themselves for resilient long-term value regardless of market volatility. This will be the next step of the Treasury model, and how key players will emerge from bearish periods.
Potential hazards
MNAV compression is rapidly accelerated. Artemis Analytics reports three consecutive months of sharp MNAV declines through September 2025, with 25-33% of Treasury companies now trading below 1.0x NAV—underwater territory where the flywheel is flipping. The strategy’s own MNAV has compressed from 6.0x peaks in 2021 to around 1.21x currently. Again, re-emphasizing the importance of an operating business to provide a stability in the approach to the Treasury, otherwise the pure play of small wealth can easily find themselves underwater. Even though it has an operating business (marginal compared to wider operations), the strategy is an exception because it is ahead of any other entity in acquisition size.
Death spiral mechanics become lethal sub-1.0x. Companies trading below NAV faced dilutive capital that raised BPSs, triggered shareholder exodus, further declines in MNAV, and forced liquids. Last month, Strive acquired Semler Scientific In a $1.34 billion all-stock deal at a 210% premium, combining their Bitcoin Treasurys with a portfolio of 10,900 BTC. This marks the first major M&A merger in the sector and vindicates the thesis that struggling pure-play fortunes are up for grabs for their discounted bitcoin holdings. Expect more consolidation as sub-1.0X MNAV companies become takeover targets.
A Bitcoin Treasury is not optional
The future of Bitcoin Treasury is just beginning. As more CFOs embrace Bitcoin as the backbone of corporate reserves, capital markets will reward disciplined, BTC-native stewardship with compounding shareholder value. As adoption accelerates, the alignment between corporate finance and the bitcoin network will bring unprecedented change. The winners won’t just hold Bitcoin – they’ll build profitable businesses around it, creating sustainable shareholder value and business growth in an unstable system. A Bitcoin Treasury is not optional – it’s not nice to have, it’s a must have.
