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- Weekly DAT inflows have dropped over 95% in four months, reflecting declining institutional confidence.
- DAT stock prices are underperforming Bitcoin and other holdings, highlighting high market sensitivity.
- Shrinking premiums and potential forced sell-offs may trigger broader crypto market pressure.
Weekly inflows into Digital Asset Treasuries (DATs) have plunged by over 95% in just four months, raising questions about the resilience of institutional crypto strategies. Once seen as a high-profile method for corporate crypto accumulation, DATs now face mounting scrutiny amid broader market headwinds.
The Steep Drop in DAT Inflows
Digital Asset Treasuries have long been a cornerstone for institutions aiming to diversify balance sheets with Bitcoin, Ethereum, and other digital assets. Firms like Strategy (formerly MicroStrategy), BitMine Immersion Technologies, and Metaplanet collectively accumulated billions in crypto reserves earlier this year.
However, the crypto market has struggled to deliver the rebound investors anticipated in Q4. Tariff-related volatility and ongoing uncertainty have caused inflows to collapse. Data from DeFiLlama shows weekly inflows peaking at $5.57 billion in July 2025, but plunging to just $259 million by November—a staggering 95% decline. Even corporate moves, such as one firm liquidating 30% of its Bitcoin holdings to cover debt, highlight the financial strain facing DAT managers.
Performance Gap Between Bitcoin and DATs Widens
The market downturn has hit DAT-linked stocks harder than the underlying cryptocurrencies themselves. While Bitcoin declined roughly 10% over the past three months, DAT stock prices fell anywhere from 40% to 90%. Analysts describe these treasuries as “high-beta bets,” highly sensitive to crypto market swings.
Despite the declines, most DATs still trade above their net asset value (mNAV). Strive (3.4x), BSTR (1.6x), and MicroStrategy (1.1x) remain above the crypto they hold. But shrinking premiums—from over 25 to near 1.0—signal an erosion of investor confidence and the difficulty of sustaining new fundraising.
The Road Ahead for Institutional Crypto Strategies
As losses mount, DAT managers face tough decisions: pause accumulation, risking strategic failure, or continue raising funds under unfavorable conditions, risking shareholder dilution. Analysts warn that forced unwinds could create significant selling pressure, affecting major and altcoins alike.
The coming months will test whether the DAT model can adapt to volatile markets and deliver on the promise of institutional crypto adoption—or if it represents a cautionary tale of overexposure and timing missteps.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
