Retail Investors See $17 Billion Loss in 2025 Due to Bitcoin Treasury Firms
Retail Investors Face $17 Billion Loss Due to Bitcoin Treasury Firms
A recent report by 10X Research reveals retail investors lost approximately $17 billion in 2025 due to investments in Bitcoin treasury companies.
This downturn mirrors a broader decrease in investor interest in Digital Asset Treasury Companies (DATCOs), with companies like MicroStrategy and Metaplanet experiencing significant stock declines alongside Bitcoin's price drop.
Impact of Bitcoin Treasury Firms
The report highlights that many investors sought indirect Bitcoin exposure through these DATCOs, which issue shares at a premium to their Bitcoin holdings to raise capital for further BTC purchases. This strategy proved profitable when Bitcoin's price was rising, but as the market cooled, these premiums diminished, resulting in substantial losses for investors.
10X Research estimates that investors collectively overpaid by about $20 billion for Bitcoin exposure through equity premiums. Despite global companies raising over $86 billion in 2025 for cryptocurrency purchases, Bitcoin-linked equities have underperformed the broader market.
Stock Performance and Market Sentiment
MicroStrategy's stock has dropped over 20% since August, while Metaplanet's value plummeted by more than 60% in the same period. The market-to-net-asset-value (mNAV) ratios of these firms have also fallen, reflecting decreased investor confidence.
With Bitcoin recently hitting a record high before retracting, nearly one-fifth of Bitcoin treasury firms reportedly trade below their net asset value.
“Those once-celebrated NAV premiums have collapsed, leaving investors holding the empty cup while executives walked away with the gold,” stated 10X Research.
Future Outlook
Analysts at 10X Research suggest this marks the end of "financial alchemy" for Bitcoin treasuries. Moving forward, these firms will need to demonstrate earnings discipline rather than rely on market hype.
“With volatility falling and the easy gains gone, these firms face a hard pivot from marketing-driven momentum to real market discipline. The next act won’t be about magic—it will be about who can still generate alpha when the audience stops believing,” 10X Research concluded.