Digital treasuries under pressure but Ethereum stands strong – StanChart
John: Hey there, folks! I’m John, a veteran writer for Blockchain Bulletin, where I break down the wild world of Web3, cryptocurrencies, and blockchain in simple, everyday language. Today, we’re diving into the latest buzz from Standard Chartered about digital asset treasuries facing some tough times, but with Ethereum holding its ground like a champ. For readers who want a full step-by-step guide, you can also check this exchange guide.
Lila: Hi everyone, I’m Lila, John’s curious assistant always eager to learn more about crypto. John, what’s a digital asset treasury anyway? It sounds fancy, but I’m guessing it’s not about pirate gold in the blockchain sea?
What Are Digital Asset Treasuries?
John: Great question, Lila! Digital asset treasuries, or DATs, are basically companies that hold cryptocurrencies like Bitcoin or Ethereum on their balance sheets, treating them as reserves much like traditional cash or bonds. Think of it as a modern twist on a company’s savings account, but with digital coins that can fluctuate in value.
Lila: Oh, that makes sense. So, these aren’t just random firms; they’re listed companies making crypto a core part of their financial strategy?
John: Exactly. As of now in 2025, firms like those mentioned in Standard Chartered’s report from 2025-09-15 are using DATs to diversify and potentially grow their assets. It’s a trend that picked up steam after events like the Bitcoin ETF approvals back in early 2024.
The Current Pressure on Market Net Asset Values (mNAVs)
Lila: The article mentions a sharp drop in mNAVs. What’s an mNAV, and why is it causing pressure?
John: mNAV stands for market net asset value, which is essentially the current market worth of a company’s digital holdings minus liabilities, adjusted for shares. According to the Standard Chartered report published on 2025-09-15, these values have collapsed recently due to market saturation and investor caution, putting smaller firms at risk. It’s like watching your stock portfolio dip during a market slump—only here, it’s crypto volatility amplifying the effect.
Lila: Yikes, that sounds stressful. Are there specific examples of this happening right now?
John: Yes, the report highlights how unsustainable models are threatening smaller digital treasury firms as of 2025-09-16. For instance, Geoffrey Kendrick from Standard Chartered noted that only the strong players will survive this shakeout, based on recent data from sources like Cointelegraph.
Why Ethereum Stands Strong Amid the Pressure
Lila: But the title says Ethereum is standing strong. How is it bucking the trend?
John: Ethereum’s proof-of-stake blockchain makes it particularly appealing for treasuries, as per the 2025-09-15 Standard Chartered analysis. Unlike Bitcoin, Ethereum offers staking rewards, which can generate yields—kind of like earning interest on your savings. The report suggests Ethereum could outperform Bitcoin and Solana because of this, with treasury firms already holding over 1.26 million ETH as of July 2025.
Lila: Staking rewards? That’s like the blockchain paying you rent for lending your coins, right?
John: Spot on, Lila! And with institutional interest growing, Ethereum treasuries are projected to be more sustainable. (On a lighter note, if crypto were a family reunion, Ethereum would be the reliable cousin showing up with extra snacks.)
Background and Past Developments
Lila: How did we get here? Has this been building for a while?
John: In the past, corporate crypto adoption started gaining traction around 2021 with companies like MicroStrategy buying Bitcoin. By 2024-10-30, even U.S. Treasury discussions, as seen in official reports, began addressing digital assets’ impact on markets. The Standard Chartered report builds on this, noting Ethereum treasury firms snapping up ETH since June 2025.
Lila: So, it’s evolved from hype to a serious strategy?
John: Absolutely. Ethereum’s shift to proof-of-stake on 2022-09-15, known as The Merge, laid the groundwork for its current strength in treasuries.
Current Landscape and Use Cases
Lila: What’s the scene like today, and how are companies actually using these treasuries?
John: As of 2025-09-17, the landscape shows digital treasuries facing pressure from collapsing mNAVs, but Ethereum-focused ones are resilient due to projected growth. Use cases include hedging against inflation or diversifying assets—think tech firms holding ETH to fund blockchain projects.
Lila: Any real-world examples?
John: Sure, reports from Yahoo Finance on 2025-09-15 indicate Ethereum treasuries outperforming others, with potential to hold up to 10% of all ETH in the future, according to Standard Chartered.
Risks and Safeguards
Lila: This all sounds promising, but what are the risks involved?
John: Risks include high volatility, regulatory changes, and market saturation, as outlined in the 2025-09-15 Cointelegraph article. Safeguards involve diversifying holdings and using secure wallets—never put all your eggs in one crypto basket.
Lila: Good point. How can beginners protect themselves?
John: Start small and stay informed. Here’s a quick list of safeguards:
- Use reputable exchanges with strong security features.
- Enable two-factor authentication on all accounts.
- Monitor regulatory news from sources like the SEC for updates.
- Diversify across assets to mitigate volatility risks.
Looking Ahead: Predictions and Future Trends
Lila: What’s next for digital treasuries and Ethereum?
John: Looking ahead, Standard Chartered predicts that Ethereum treasuries could grow their holdings tenfold, as per their 2025-07-29 report updated in September. They also foresee a $250 million fund for digital assets starting in 2026, focusing on global investments.
Lila: Exciting! Will this make Ethereum even stronger?
John: Potentially, yes. With market pressures weeding out weaker players, the survivors could drive more adoption by late 2025 or 2026.
John: Whew, that was a deep dive into digital treasuries and Ethereum’s resilience—it’s fascinating how crypto keeps evolving. Remember, stay curious and informed as the space changes fast. And if you’d like even more exchange tips, have a look at this global guide.
Lila: Totally agree, John—Ethereum’s strength here is a reminder that smart tech can weather the storms. Thanks for breaking it down!
This article was created using the original article below and verified real-time sources:
- Digital treasuries under pressure but Ethereum stands strong – StanChart
- As digital asset treasury mNAVs collapse, only strong will survive — Standard Chartered
- Ethereum Treasuries Set to Outperform Bitcoin and Solana as DAT Shakeout Looms: Standard Chartered
- Ethereum treasury firms are ‘just getting started’ — could 10x holdings to 10% of all ETH, says Standard Chartered