Bitcoin treasury companies are facing more scrutiny in 2025 as investors and regulators question the viability of their business models. Companies, which have BTC on their balance sheets, now grapple with valuation and governance. Even though more firms have entered the space, most are struggling to be resilient in a volatile market.
Regulatory Scrutiny on Bitcoin Treasury Companies
In the United States, over 200 Bitcoin treasury companies are under close watch by financial authorities. It must be determined whether or not any of these firms had engaged in selective disclosure or insider buying before announcing large news.
New price surges in stocks short of time before BTC announcements created concerns over the timing and disclosure of business announcements. In response, regulators are weighing the adoption of stronger guidelines for disclosures and governance standards.
Investor Sentiment and Valuation Issues
The explosive growth of Bitcoin treasury businesses has revealed weakness in execution and strategic planning. David Bailey, CEO of the parent company to Bitcoin Magazine, states that firms have no definite competitive advantage but instead ride on hype-driven momentum and not long-term strategy.
This change in investor enthusiasm has resulted in shocking falls in the net asset values of a number of the Bitcoin-themed publicly quoted companies. When markets are at their peak, even owning Bitcoin is not enough to maintain shareholder value.
Bailey observes that shareholders have also become far more demanding, quickly finding underperforming Bitcoin treasuries. This caution is a sign of warning against unbridled optimism in the marketplace.
Continued Accumulation in the Face of Adversity
Unfazed by the scrutiny, corporate Bitcoin accumulation is rampant. Public companies deposited a record of more than 159,000 BTC into their treasuries in the second quarter of 2025 alone. Individually, public companies collectively hold more than one million BTC, accounting for more than 5% of the hard cap supply of the cryptocurrency. The trend is an indication of ongoing institutional confidence in Bitcoin as a store of value.
But this build-up of treasury reserves has not been enough to prevent firms from suffering reputational losses. Firms lacking decent financial or business strategy are increasingly finding that they are unable to articulate their Bitcoin risk to shareholders and regulators.
