The crypto treasury market is likely to consolidate this year amid a market slowdown, as companies with operations merge or acquire those trading below net asset value (NAV), according to Wojciech Kaszycki, director of strategy at crypto infrastructure and treasury firm BTCS.
Operating businesses, such as providing validation services for blockchain networks or by offering public and private credit instruments, generate cash flow that gives crypto cash companies an advantage over those that only accumulate crypto, Kaszycki told Cointelegraph.
This financial advantage allows them to buy out companies that are treading water on their crypto investments or trading below the value of their crypto holdings, he said. Kaszycki added:
“If you consolidate with another player, sometimes two plus two equals six or more, you can win faster, because everyone in that market trading below NAV is in trouble.”
Crypto treasury companies have seen a market-wide slowdown by 2025, with many companies’ stock prices falling below the value of the crypto held on their balance sheets. The decline in crypto treasury preceded the crypto market crash in October.
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Tokenized public and private credit instruments as a source of income for crypto treasuries
“In today’s world, credit instruments are one of the most widely used financial instruments in the world,” Kaszycki told Cointelegraph.
Public and private credit instruments could also be tokenized on blockchain networks, Kaszycki said.
“I believe tokenized real-world assets (RWA), particularly the tokenization of public and private credit, is something that is going to grow a lot over the next 24 months,” he said.
These RWAs could be used as collateral on decentralized finance (DeFi) platforms, including lending or borrowing applications, he said.
Strategy, the biggest Bitcoin (BTC) world treasury company, offers credit and fixed income instruments to the investing public.
The company cited its fixed-income instruments as one reason why MSCI, an index provider, should include strategy and other similar crypto treasury companies in its stock indices.
“Strategy’s treasury operations are designed to provide investors with varying degrees of economic exposure to Bitcoin by offering a range of securities, including equities and fixed income instruments,” Strategy wrote according to MSCI.
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