DAT Meltdown Continues as BTC and ETH Treasuries Decline
Digital asset treasury companies (DATs) are experiencing a significant slump amid declines in their Bitcoin (BTC) and Ethereum (ETH) treasuries. BTC has dropped about 20% from its 2025 all-time high, while ETH has fallen approximately 36% from its 2025 peak.
Specific companies have seen steep drops from their 2025 peaks: Metaplanet is down around 80%, Saylor's Strategy by about 50%, SharpLink by roughly 70%, and BitMine by nearly 46%.
In response to the downturn, some companies have conducted asset sales to manage financial obligations. ETHZilla sold around $40 million of ETH, approximately 10% of its treasury, to fund a share buyback. Sequans sold about 970 BTC, roughly 30% of its Bitcoin holdings, to pay down convertible debt. These sales have sparked concerns that other major DATs might also be forced to sell assets to cover costs.
The net asset value (mNAV) of crypto majors is compressed well below 1, currently trading at around 80% of the assets' value. Despite the challenges, the biggest players—Strategy, BMNR, and SBET—are expected to survive this downturn.
ETH strategies led by Joe Lubin and Tom Lee are still in early stages and have not yet unlocked yield-bearing benefits. Michael Saylor, with a long track record, makes a complete implosion unlikely in the near term, although further price pressure could cause additional pain.
In this challenging environment, prospective buyers may require stronger pitches to invest, and industry leaders are expected to refine their approaches to navigate the downturn.
