A recent 10X Research report estimates that retail investors have lost approximately $17 billion due to exposure to Bitcoin treasury companies.
The loss reflects a broader decline in investor enthusiasm for Digital Asset Treasury Company (DATCO). Companies like MicroStrategy and Metaplanet have seen their stock prices fall in tandem with Bitcoin’s recent price weakness.
Bitcoin finance company loses $17 billion in personal assets
According to the report, many investors turned to these DATCOs to gain indirect exposure to Bitcoin. These companies typically issue stock at a premium for their Bitcoin holdings and then use the proceeds to buy more Bitcoin.
10x Research noted that this strategy worked well when the price of Bitcoin rose, as the stock’s valuation often exceeded the asset’s spot return. But those premiums collapsed as market sentiment cooled and Bitcoin lost momentum.
As a result, investors who bought during the valuation frenzy suffered a total loss of about $17 billion. The company also estimated that new shareholders overpaid approximately $20 billion for Bitcoin exposure through these equity premiums.
These numbers are not surprising considering BeInCrypto previously reported that global companies will raise more than $86 billion in 2025 to buy cryptocurrencies.
Remarkably, this number exceeds the total number of initial public offerings in the United States this year.
However, despite this large influx, the performance of Bitcoin-related stocks has lagged the broader market recently.
For context, Strategy (formerly MicroStrategy) MSTR stock has fallen more than 20% since August. Tokyo-based Metaplanet also lost more than 60% of its value over the same period, according to Strategy Tracker data.
Bitcoin vs. Strategy and Metaplanet price performance. Source: Strategy Tracker
Bitcoin DATCO, mNAV, decline
At the same time, the market-to-net asset value (mNAV) ratio, once a measure of investor confidence, has deteriorated.
MicroStrategy currently trades at around 1.4x its Bitcoin holdings, while Metaplanet has fallen below 1.0x for the first time since adopting its Bitcoin financial model in 2024.
“The once-lauded NAV premium has collapsed, leaving investors with an empty cup and executives walking away with their money,” 10x Research said.
Metaplanet’s net asset value (NAV). Source: 10X Research
Across the market, nearly one-fifth of publicly traded Bitcoin treasury companies are reported to be trading below their net asset value.
The contrast is stark considering that Bitcoin recently hit a record high of more than $126,000 this month before falling in response to President Donald Trump’s threat of tariffs on China.
Still, Brian Brookshire, head of Bitcoin strategy at H100 Group AB, argued that the mNAV ratio is cyclical and does not reflect long-term value. H100 Group AB is the largest Bitcoin holder in the Nordic region.
“Most of the BTCTCs trading near 1x mNAV have only reached that level within the past few weeks. By definition, it is not normal… There is no such thing as a normal mNAV, even for MSTR. This is a volatile and cyclical phenomenon,” he said.
Nevertheless, analysts at 10X Research said this event marks the “end of financial alchemy” for Bitcoin Treasuries. In the case of Bitcoin government bonds, inflated stock issuance once created the illusion of infinite upside.
With this in mind, the company said that going forward, these DATCOs will be judged by earnings discipline rather than market euphoria.
“With volatility reduced and easy profits gone, these companies face a tough shift from marketing-driven momentum to actual market discipline. The next act won’t be about magic; it will be about who can still generate alpha even when audiences stop believing,” 10X Research concluded.
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