- Crypto VCs projected that the crypto treasury trend will burst like the ‘memecoin supercycle.’
- In 2027-2028, the outstanding debt of Bitcoin Treasury firms is expected to reach $10 billion.
Bitcoin [BTC] Treasurys and copies based on Ethereum [ETH] Haseeb Qreshi, the crypto VC Dragonfly founder, says that in just two years time, altcoins won’t exist.
In an X post, Qureshi linked the ‘treasury meta’ to ‘hot money’ that will end like last year’s token launch.
“But hot money never stays put, which is why treasury companies will not be the final meta. But I’d guess 1-2 years of this until the heat dies down.”
Source: Hosseeb/X
What will happen to treasury companies?
Zaheer ebtikar (founder of Split Capital) echoed Qureshi, but added that the narrative will be shorter than the ‘memecoin supercycle.’
“Markets get smarter over time, and as a result, every new meta is shorter and shorter lived…Memecoin euphoria, now —> public vehicles. They all live shorter lives as a function of market forces.”
As of June, Bitcoin and Ethereum treasuries held about $367 billion in capital. BTC-focused companies hold 3.44M BTC (or $364B) based on current market prices.
The other hand ETH treasury businesses The following are some of the most effective ways to improve your own language skills. accumulated 1,16 Million ETH worth $3 billion
Strategy and Metaplanet are the main drivers of BTC from public Treasury. Analysts have expressed concern that these firms could crash the market in case they default due to their debt leverage.
Alex Thorn of Galaxy Digital responds rebutted the claims, stating that debt concerns were ‘overblown’ because most maturities will begin in 2027.
BTC treasuries are $12.7 billion debtors, while Strategy has $8.2 billion or 64%.
In 2027-2028, nearly $10 billion in debt is due to be paid. If the bubble does burst, this timeline is in line with Qureshi’s prediction.
Source: Galaxy Research
Most investors are attracted to the fact that the meta crypto-treasury is printing higher returns than its underlying assets.
For risk management, however, 2027-2028 could be an important period to watch, particularly if firms do not pay their debts.
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
“ItsDailyCrypto is not responsible for any activities you perform outside ItsDailyCrypto.”
Source: ambcrypto.com
