Crypto Treasury Premiums Narrow as Investor Sentiment Shifts

Wall Street's interest in companies holding Bitcoin is declining, with a narrowing gap between share prices and net asset value (NAV) noted by the New York Digital Investment Group.

Key points include:

Investor concerns over future token unlocks are affecting prices.
Factors contributing to premium reductions include shifting corporate strategies, new share issuances, profit-taking, and lack of differentiation among Bitcoin-holding companies.
Companies used as proxies for Bitcoin gains have seen their shares approach NAV, indicating reduced premiums.
Publicly disclosed Bitcoin-buying companies peaked at 840,000 BTC; Strategy holds approximately 637,000 BTC.
Average purchase sizes have sharply declined, with Strategy's August buy averaging 1,200 BTC compared to a peak of 14,000 BTC earlier this year.
Monthly growth rates decreased significantly for both Strategy and other firms.
Some treasury companies are trading below recent fundraising prices, posing risks if newly issued shares are sold off.
Cipolaro suggested companies might consider stock buybacks to stabilize share prices.
Bitcoin's price is currently around $111,550, down 7% from mid-August levels.