A recent report from BitcoinTreasuries.Net highlights significant challenges for Bitcoin-focused treasury companies since November. The findings show that most of these firms are now dealing with substantial unrealized losses, leading many to sell off large portions of their Bitcoin holdings.
Market Struggles Continue
In a sample of 100 companies with reliable cost data, about 65% bought Bitcoin at prices above the current market value, leaving them with significant unrealized losses. Bitcoin’s market downturn in late November pushed prices toward $90,000, putting many buyers from 2025 at a disadvantage.
Now, the leading cryptocurrency has fallen back below this key level, even after the Federal Reserve’s recent rate cut announcement. Among the companies surveyed, roughly two-thirds are sitting on unrealized losses based on current prices.
Despite the price volatility, some of the largest holders continued to buy Bitcoin. Notably, firms like Strategy (formerly MicroStrategy) and Strive were major contributors to net purchases in November, with Strategy making up about 75% of all monthly buys following their sell-offs.
Mining companies remain a cornerstone of public Bitcoin holdings. In November, they accounted for about 5% of new additions to the market and roughly 12% of the total balances held by public companies.
Bitcoin Demand Remains Strong
Even though Bitcoin treasury stocks have underperformed compared to Bitcoin itself and broader equity markets, many companies still pursued strategies to add BTC to their balance sheets while refining their capital-market approaches.
BitcoinTreasuries.Net’s analysis shows that nearly 50 firms have managed gains of at least 10% over the last 6 to 12 months. Over time, losses have started to ease for some. Currently, around 140 companies have seen declines of at least 10% over a 1 to 3 month period, while about 105 have experienced similar declines year-to-date.
However, not all corporate holders chose to wait out the price swings. In November alone, at least five companies sold Bitcoin, with Sequans leading the way by offloading about one-third of its holdings.
Looking ahead, the fourth quarter of 2025 is expected to close with around 40,000 BTC added to public company balance sheets. This figure is notably lower than the totals from each of the previous four quarters and is similar to the additions seen in the third quarter of 2024.
The report concluded that while the “summer buying frenzy” has clearly eased, demand for Bitcoin hasn’t disappeared entirely. Public corporations are adopting a more cautious and selective approach as they reassess their recent purchases.
At the time of writing, BTC traded at $89,920, down over 2% in the past 24 hours. This puts the cryptocurrency 27% below its all-time high of $126,000 set in October of this year.
Frequently Asked Questions
FAQ Companies Holding Bitcoin Unrealized Losses
Beginner Questions
What does unrealized loss mean
An unrealized loss is a decrease in the value of an investment that you still own Its a paper loss because you havent sold the asset yet so the loss isnt locked in
Why are so many companies holding Bitcoin
Companies started holding Bitcoin in their treasuries as a potential hedge against inflation a longterm store of value or a way to diversify their corporate assets beyond cash and traditional investments
What does this report mean for Bitcoins price
It highlights that many corporate investments are currently underwater which could create selling pressure if companies need to cash out to cover expenses potentially pushing the price down further However it doesnt necessarily predict future price movements
Is Bitcoin a bad investment for companies
Not inherently but its a highly volatile asset This report shows the risk of holding it on a balance sheet Like any investment timing allocation size and corporate strategy are crucial
Intermediate Impact Questions
How does an unrealized loss affect a companys finances
It negatively impacts the companys balance sheet reducing the reported value of its assets This can affect metrics like book value and for public companies potentially influence investor sentiment and stock price even though no cash has been lost yet
Which types of companies are most affected
The companies facing the largest losses are likely those that bought Bitcoin at or near its alltime high in late 2021 Both private and public companies can be affected but losses are more visible for publicly traded firms due to reporting requirements
Could these losses force companies to sell their Bitcoin
Yes if a company faces cash flow problems or needs to meet specific financial obligations it might sell at a loss to raise capital This is sometimes called capitulation
Does this mean corporate adoption of Bitcoin is failing
Not necessarily Its a stress test during a market downturn It may lead to more cautious strategies like smaller allocations or stricter treasury management policies rather than abandonment of the asset class entirely
Advanced Strategic Questions
What accounting rules apply to corporate Bitcoin holdings
In the US Bitcoin is typically treated as an indefinitelived intangible asset under GAAP This means its held at cost and only written down