The financing model used by digital-asset treasury companies is losing strength as their stock-market premiums diminish, according to Cointelegraph, citing DWF. Most digital-asset treasuries, or DATs, now trade below the value of the crypto assets they hold. That valuation gap weakens a mechanism that previously allowed these companies to expand their balance sheets by using elevated equity valuations to support further crypto accumulation. With shares no longer commanding a premium to underlying holdings in most cases, the model provides less financial leverage for growth. The shift is significant for market participants tracking treasury-focused crypto equities and the assets held on their balance sheets. DWF’s assessment points to a broader change in how investors value these companies: instead of rewarding them above the value of their crypto reserves, the market is now pricing most DATs below those holdings.
