2025 Digital Asset Treasury Corporation (DATCo) Report

# The Rise of Digital Asset Treasury Companies (DATCos): From Fringe Experiments to a $130 Billion Force  

By: CoinGecko  

Translated by: AididiaoJP, Foresight News  

Since 2020, the rise of digital asset treasury companies (DATCos) has emerged as one of the most iconic developments in the cryptocurrency space. While media attention has largely focused on ETFs, meme coins, and next-generation DeFi protocols, DATCos have quietly evolved into a powerful new force in the market.  

But how did DATCos transform from niche corporate experiments into a $130 billion powerhouse spanning Bitcoin, Ethereum, and various altcoins?  

This article explores how digital asset treasury companies have become the standout players of this market cycle.  

## Executive Summary  

- Publicly traded companies began including cryptocurrencies in their reserve assets in 2017; the rise of Strategy brought "pure-play" DATCos into the spotlight.  

- The number of DATCos surged from 4 in 2020 to 142, with 76 established in 2025 alone.  

- DATCos invested a total of $42.7 billion in 2025, with over half of this spending occurring after Q3.  

- Strategy dominates the sector, holding $70.7 billion in assets—accounting for approximately 50% of the total crypto assets held by all DATCos.  

- DATCo stocks soared in their first 10 days (e.g., BitMine jumped 3,069%), followed by a widespread pullback.  

## The Rise of Strategy Puts Pure-Play DATCos in the Spotlight  

Digital asset treasury companies first emerged in 2017, initially consisting primarily of publicly listed cryptocurrency mining firms. In August 2020, Strategy launched as the first "pure-play" DATCo (a company focused solely on digital asset treasury management, rather than ancillary crypto businesses like mining), sparking a wave of similar enterprises.  

At the end of 2023, the U.S. Financial Accounting Standards Board (FASB) introduced new accounting standards for cryptocurrencies, allowing DATCos to measure their crypto assets at fair value and record appreciation as income. This policy significantly boosted the performance of DATCos’ balance sheets.  

Additionally, former U.S. President Trump’s crypto-friendly stance and the skyrocketing prices of assets like Bitcoin collectively drove a flood of Wall Street capital into the sector—including investments in DATCos.  

Against a backdrop of weak fiat currency performance, many publicly traded companies (not primarily engaged in crypto) also began incorporating cryptocurrencies into their reserve strategies to hedge against currency depreciation risks.  

## 142 DATCos as of October 2025, 76 Established in 2025  

The first DATCo was Hut 8 Mining Corp, a Bitcoin mining company listed on the Toronto Stock Exchange in November 2017. Between 2017 and 2020, cryptocurrency mining firms remained the primary form of DATCos. This changed in August 2020 with the launch of Strategy, the first pure-play DATCo.  

As of the end of October 2025, the total value of crypto assets held by all DATCos reached $137.3 billion—more than doubling (+139.6%) from the start of the year.  

Of the 142 DATCos, 113 (79.6%) hold Bitcoin as a reserve asset, while 15 hold Ethereum and 10 hold Solana. By U.S. dollar value, Bitcoin accounts for 82.6% of all crypto assets held by DATCos, followed by Ethereum (13.2%) and Solana (2.1%).  

Geographically, the United States has the largest number of DATCos (60, or 43.5%), followed by Canada (19) and China (10). While Japan has only 8 DATCos, it is home to the fifth-largest DATCo—Metaplanet—which is also the largest DATCo outside the United States.  

## DATCos Invested $42.7 Billion in 2025, Over Half in Q3 Onward  

In Q3 2025, crypto-focused DATCos spent at least $22.6 billion on acquiring new assets, making it the highest-spending quarter to date. Altcoin-focused DATCos contributed $10.8 billion of this total, accounting for 47.8%. Since the start of 2025, DATCos have spent at least $42.7 billion on crypto asset acquisitions.  

Bitcoin-focused DATCos were the biggest buyers, purchasing at least $30 billion worth of BTC since the start of 2025—representing 70.3% of all crypto asset purchases by DATCos.  

Ethereum-focused DATCos ranked second, with reported purchases of at least $7.9 billion in 2025. Most of this spending occurred in August, when they bought at least $7.1 billion worth of ETH—coinciding with Ethereum’s surge to an all-time high of $5,000.  

Other assets like Solana, BNB, and WLFI accounted for 11.2% of 2025 purchases. This share is expected to rise as more altcoins are added to reserves. However, Bitcoin and Ethereum remain the preferred assets for DATCos.  

## Strategy Accounts for Approximately 50% of Total Crypto Assets Held by All DATCos  

With $70.7 billion in Bitcoin holdings, Strategy far outpaces other DATCos. Among the top 15 DATCos, only three are altcoin-focused: BitMine Immersion (2nd), Sharplink (5th), and Forward Industries (14th). Notably, all three transitioned to DATCos after June 2025, highlighting their rapid asset accumulation.  

Of the top 15 DATCos, seven are pure-play entities, while only three are cryptocurrency mining firms.  

Among the five publicly traded companies with crypto reserves, four (excluding Tesla) operate businesses related to cryptocurrency.  

Currently, Strategy holds 3.05% of Bitcoin’s total supply; BitMine Immersion holds 2.75% of Ethereum’s total supply; and Forward Industries holds 1.25% of Solana’s total supply.  

## DATCo Stocks Soar in the First 10 Days, Followed by Widespread Pullbacks  

Most DATCos experience a sharp stock price rally in the first 10 days after announcing their transition to a digital asset treasury model, typically followed by a decline after peaking.  

Some companies saw their stock prices surge dozens of times within 10 days—with BitMine Immersion delivering a return of 3,069%.  

The only exception so far is Metaplanet: its stock rose by approximately 100% in the first 10 days, but took 269 days to reach a peak return of around 6,200%.  

Most DATCo stocks also fluctuate sharply *before* their official transition to a crypto-focused model—a benefit typically limited to early buyers or insiders. This phenomenon has sparked controversy, with the U.S. Securities and Exchange Commission (SEC) and Financial Industry Regulatory Authority (FINRA) launching insider trading investigations.  

However, these rallies are often unsustainable. Most DATCo stocks plummet within days of their transition. For example, ALT5 Sigma’s stock fell 71% 44 days after its transition. Its holdings of WLFI also underperformed, dropping 56% since the company’s market debut.  

## Disclaimer  

The market is risky, and investment requires caution. This article does not constitute investment advice. Users should assess whether any opinions, views, or conclusions in this article align with their specific circumstances. Any investment made based on this article shall be at the investor’s own risk.