Crypto Treasury Firms Stare Down Leverage Crisis as NAV Discounts Force Risky Moves

ETHZilla has sold $40 million in Ethereum to fund stock buybacks amid a 30% NAV discount, highlighting growing distress in the crypto treasury sector. Meanwhile, Japan’s Metaplanet trades below its Bitcoin reserves, spotlighting escalating risks for the industry. Analysts warn that crypto treasury firms face three dangerous options likely to fuel a sector-wide leverage expansion if market pressures continue. Treasury Firms Confront Valuation Challenges The Bitcoin treasury model faces new pressures as several firms fall below net asset value (NAV) source: https://beincrypto.com/crypto-treasury-leverage-nav-crisis/