However, a recent report found that retail investors have lost around $17 billion by investing in Bitcoin treasury stocks. According to the firm, the hype surrounding BTC treasuries seems to be coming to an end, with retail investors forced to deal with the losses.
According to the analytics firm, it made sense for the treasury firms to offer their shares at a premium as the price of Bitcoin continued to increase. 10x Research noted that the once-celebrated premiums to net asset value (NAV) was an illusion that has left investors with losses while “executives walked away with the gold.”
10x Research mentioned that investors who purchased the overvalued stocks during the Bitcoin treasury boom have collectively lost about $17 billion. According to the research firm, the declining volatility and profits is forcing the treasury companies to make a hard pivot from marketing-driven momentum to real market discipline.
10x Research added:
The next act won’t be about magic—it will be about who can still generate alpha when the audience stops believing.
Unsurprisingly, the performance of Bitcoin-linked stocks has been quite disappointing over the past few months. For example, Strategy’s (previously known as MicroStrategy) MSTR stock has declined by over 20% since August.
