Bitcoin Treasury Companies Face Bear Market Risks

The number of listed companies that have added Bitcoin to their financial statements has risen to 179 as of September 2026, according to a report by Cointelegraph.

These companies, known as Bitcoin treasury companies, raise money in traditional capital markets to buy Bitcoin and seek to boost shareholder returns by increasing the Bitcoin backing per share faster than the pace of share dilution.

However, this structure is advantageous when Bitcoin prices are rising but can magnify losses in a bear market. Since July 2025, the market capitalization of the top 50 Bitcoin treasury companies has fallen by about $83 billion.

StoneX analyst Mark Palmer advises investors to look beyond total Bitcoin holdings and focus on fully diluted Bitcoin per share that reflects debt and preferred stock claims. He notes that if a company issues shares at a price above the value backed by Bitcoin and uses the proceeds to buy more Bitcoin, Bitcoin per share can rise.