In brief
- Depending on how they raise funds, Bitcoin treasury firms may eventually be forced to sell the asset.
- Observers say that these firms may also become a target for acquisitions.
- For smaller firms, copying Strategy’s playbook may require a meaningful amount of time.
Distillers, cannabis producers, and energy storage firms are among a wave of publicly traded companies loading their balance sheets with Bitcoin, but observers say that the strategy carries great risk if the asset’s price falls to certain levels or their ability to raise cash becomes constrained.
They might then be forced to sell their holdings, potentially at a discount, or even the firm itself.
“There might be an opportunity for highly credit-worthy operating…
