Bitcoin 
$112,712.16 Market values of focused treasury companies fell below the BTC assets in their portfolios. The rapidly decreasing investment appetite and declining share prices since mid-2024 have brought these companies to an mNAV ratio below 1. Companies operating with a pure Bitcoin treasury model, such as Semler Scientific (SMLR), KindlyMD (NAKA), and Strive (ASST), are trading at deep discounts to their asset values.
Bitcoin Portfolios Fall Short as Stocks Crash
Semler Scientific created a portfolio exceeding 5,000 BTC with the Bitcoin strategy it launched in mid-2024. However, the company’s share price is still hovering around the $24 level where it started Bitcoin purchases, and its market value corresponds to only 80 percent of its assets. Strive, which is preparing to take over the company, is facing a bigger decline. It has lost 90 percent of its value in the last month, falling to a market value of half of the 5,885 BTC on its balance sheet. The same picture applies to KindlyMD. The company, which holds 5,765 BTC, is trading at 0.5x mNAV and has a market cap of only $300 million compared to $631 million of Bitcoin.
BitcoinQuant data reveals that other treasury companies such as Capital B, Smarter Web Company, H100 Group and Metaplanet are similarly trading below net asset value.
New Strategies Are on the Agenda to Regain Trust
Analysts emphasize that the sharp depreciation in the shares of Bitcoin treasury companies is due to investor psychology and that the recovery depends on the price of Bitcoin. It is likely that companies will turn to buyback programs to close this discount. Empery Digital’s share buyback, financed by a $100 million loan, failed to support the share price; The company’s value has fallen by 60 percent since the beginning of the year. Similarly, Sequans Communications’ 10 percent ADS buyback failed to improve share performance.
Some companies are trying to generate additional income by investing a small portion of their Bitcoin assets in low-yield trading strategies. This approach has also worked in the past for Strategy (MSTR), managed by Michael Saylor, which went through a similar process in 2022 and managed to trade at a premium again. MSTR is currently trading at around 1.39x BTC assets, but its premium is falling rapidly.
