Crypto hoarding company shares under pressure as risk appetite wanes
(Reuters) -Fresh turbulence in the crypto market is weighing on shares of companies that stockpile bitcoin (BTC-USD) and other tokens on their balance sheets, stoking concerns over stress in the niche but fast-growing sector.
Buoyed by US President Donald Trump’s crypto-friendly stance and inspired by the meteoric success of Michael Saylor’s Strategy (MSTR), the number of publicly traded companies investing in cryptocurrencies in the hopes they will appreciate has boomed this year.
However, concerns over a potential AI bubble and uncertainty over the path of U.S. Federal Reserve rate cuts have weighed on risk assets lately, pushing bitcoin this month to its lowest level since April and sending many of these “digital…
