Bitcoin Treasuries Shift from HODL to Yield Generation, Hedging, and Share Buybacks Amid NAV Discount Challenges

Shift in Bitcoin Treasury Management: Companies are moving from simply holding Bitcoin to actively managing it as a treasury-grade asset, focusing on strategies like earning conservative yields and hedging against market volatility.

Selling Bitcoin for Share Buybacks: As many digital-asset treasury stocks trade below their net asset value, selling Bitcoin to buy back shares is seen as a smart strategy to demonstrate commitment to shareholder value.

Active Reserve Management: Firms are encouraged to adopt active reserve management practices, including diversifying risks and using derivatives to protect against significant drawdowns, rather than relying solely on a "buy and hold" approach.

Evolving Corporate Sentiment: The initial excitement around Bitcoin treasuries has cooled, prompting companies to rethink their strategies and focus on making Bitcoin a productive reserve rather than just a marketing tool.