TON Strategy CEO Rejects Bubble Fears Around Crypto Treasuries

For the near future, Kapustina predicts consolidation rather than collapse. Coinbase’s David Duong also explained at Token2049 that mergers, acquisitions, and crypto-native yield strategies will define the next phase as firms compete to dominate tokens. Despite skepticism over share buybacks, DATs continue to accumulate massive Bitcoin and Ethereum holdings.

Crypto Treasuries Look Like Hype Not Bubble

At the Token2049 conference in Singapore, TON Strategy CEO Veronika Kapustina shared her perspective on the booming corporate digital asset treasury (DAT) sector, which quickly became one of the hottest trends in both crypto and traditional finance. Kapustina acknowledged that the surge in DATs has all the signs of a bubble, but also pointed out that it differs from previous financial bubbles because it represents an entirely new segment of the financial system. 

She explained that digital asset treasuries became “the trade of the summer,” by attracting fast money and speculative investors, but now the market is maturing with more sophisticated participants carefully separating quality projects from unsustainable ones.

Kapustina described digital asset treasuries as a bridge between traditional finance and the crypto economy, with long-term potential that goes well beyond the hype cycle. While she does not expect a crash, she does expect a period of consolidation as many newly launched treasuries struggle to reach their ambitious goals. This natural cooling off period, she argued, will pave the way for medium- to long-term capital to flow in. This will build a more sustainable foundation for the sector.

Kapustina also credited Michael Saylor’s Strategy with pioneering the DAT model by adopting Bitcoin as a corporate treasury asset. Since then, the model expanded to include other leading cryptocurrencies like Ethereum, Solana, and Toncoin, the native token of The Open Network. 

Kapustina believes this evolution proves that the concept works across multiple blockchain ecosystems, and she outlined possible future paths for DATs, including providing financial infrastructure, pursuing banking licenses, enabling mergers and acquisitions, and serving as technology bridges between chains.

Despite the concerns about overheated valuations, corporate crypto treasuries continued to accumulate assets aggressively throughout the year. Data shows that more than 1.3 million Bitcoin, which is worth close to $158 billion, are currently held in corporate treasuries. 

BTC in treasuries (Source: BitcoinTreasuries.NET)

Similarly, Ethereum treasuries secured around 5.5 million ETH valued at $24 billion, representing 4.5% of its total supply. Kapustina believes that in the long run, investors will recognize the true value of DATs not only as a bridge between traditional finance and crypto, but also for their role in securing networks and supporting blockchain utility.

Digital Asset Treasuries Enter Next Phase

The digital asset treasury sector is entering a new stage of maturity. This is according to Coinbase’s head of investment research, David Duong. At Token2049, Duong suggested that mergers and acquisitions could become a dominant theme as companies look for ways to stand out and secure investor confidence. He pointed to the recent all-stock deal in which Bitcoin treasury firm Strive acquired fellow digital asset treasury Semler Scientific as an early sign of this trend.

Duong explained that while many DATs initially focused on share price strategies, the market is now seeing a push toward more crypto-native approaches like staking and DeFi looping, where assets are repeatedly borrowed and repositioned to maximize yield. However, he also pointed out that the sector’s long-term trajectory will depend heavily on regulatory clarity, liquidity conditions, and market forces. 

Standard Chartered predicted in mid-September that not all treasuries will survive, which will force weaker players either to adapt or disappear. The competitive nature of the market already pushed DATs into what Duong described as a player-vs-player phase, where companies attempt to dominate individual tokens. 

This led to aggressive share buybacks that are aimed at boosting stock prices and signaling strength to investors. Some of the more recent moves included Trump Jr.-linked Thumzup increasing its buyback program from $1 million to $10 million, and Solana-focused DeFi Development Corp expanding its plan from $1 million to $100 million. Duong suggested that the underlying motivation is the belief that only a handful of treasuries will ultimately emerge as leaders for each major token, whether it be Bitcoin, Ethereum, or Solana.

Still, share buybacks have not always produced the desired effect. Duong warned that these programs are highly sentiment-driven and can be perceived as a defensive maneuver rather than a show of strength. For example, TON Strategy Company, formerly Verb Technology, announced a buyback in September. After this, its shares dropped 7.5% as investors questioned the company’s long-term strategy.

Despite these challenges, digital asset treasuries continue to accumulate holdings.