Bitcoin, Ethereum, Solana Treasury Companies Need To Manage Market Volatility, Franklin Templeton Report Warns
Corporate crypto treasury strategies offer substantial opportunities but also carry the risk of a damaging feedback loop, according to a Franklin Templeton Digital Assets report.
What Happened: The firm noted in its report published on Wednesday the growing number of publicly traded companies adopting crypto treasury models, where businesses raise capital to purchase and hold crypto assets like Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH), and Solana (CRYPTO: SOL) on their balance sheets.
According to Bitcoin Treasuries data, around 135 public companies are now following this approach with Bitcoin alone.
Inspired by Michael Saylor‘s playbook at Strategy (NASDAQ:MSTR), these companies have collectively raised billions of dollars since early 2024 through instruments such as equity offerings, convertible notes, preferred shares, private placements, and in some cases, SPACs or reverse mergers.
Beyond Strategy’s leadership in Bitcoin, other key players include Metaplanet (OTC:MTPLF), Twenty …
About The Author
