The latest downturn in Bitcoin (BTC) has begun to weigh heavily on publicly listed companies that built their balance sheets around the market’s leading cryptocurrency.
Bitcoin Slide Pressures Digital Asset Treasury FirmsThe number of publicly traded firms investing in cryptocurrencies surged last year, as many executives bet that digital assets would continue to appreciate over the long-term.
As a result, Bitcoin has slid to its lowest level since October 2024, putting pressure on companies whose business models rely on holding digital assets. Many of these digital asset treasury firms saw their shares wobble sharply on Thursday.
Seven Major Companies SufferIn December, the company cut its 2025 earnings outlook, pointing to weakness in Bitcoin prices, and announced plans to establish a reserve to help support dividend payments.
Other Bitcoin‑focused firms also felt the impact. Shares of the UK‑based Smarter Web Company fell nearly 18% on Thursday. Rival Bitcoin buyers Nakamoto Inc and Japan’s Metaplanet were also under pressure, dropping almost 9% and more than 7%, respectively.
Alt5 Sigma, which announced last year that it would accumulate the Trump family’s World Liberty Financial (WLFI) token, saw its shares drop 8.4%. Similarly, SharpLink Gaming, which holds Ethereum (ETH), declined about 8%, while Forward Industries, a holder of Solana (SOL), slid nearly 6%.
Featured image from OpenArt, chart from TradingView.com
