Crypto treasury firms pivot to dilutive preferreds and PIPEs as falling prices choke off easy ATM raises

With stock prices no longer comfortably above mNAV, crypto treasury firms are turning to riskier capital structures — PIPEs, convertibles, perpetual preferreds — to keep buying coins. Strategy alone issued $7B in preferreds last year (a third of all Wall Street preferred raises), while Metaplanet recently pulled in $255M via warrant-tied share placements with mNAV exercise clauses. The problem: PIPE-backed names like Nakamoto and Strive are already trading below their issuance prices with mNAV under 1.0, and CryptoQuant warns of potential 50% downside as the entire accretive-issuance playbook breaks down.

TLDR by @Benthic

More coverage

• Treasury Company Advisory Agreements | BitMEX (bitmex.com)
• Key capital market trends: Digital asset treasuries - Market Edge (marketedge.dlapiper.com)
• The Proliferation of Cryptoasset Treasury Strategies in Public Markets (skadden.com)
• The Art of the (Crypto Treasury) Deal - NYDIG (nydig.com)
• Crypto Treasury Companies: Is It A Bubble? | Presto Research (prestolabs.io)

Explore the topic

• Crypto
• Raises
• Digital Asset Treasury