‘One-Trick Pony’ Crypto Treasuries Are Bracing for New Rivals

Digital asset treasuries are set to evolve from being mere “static vaults” for popular cryptocurrencies. They will soon expand to include tokenized real-world assets, stablecoins, and other yield-generating assets, according to insights from industry experts.

Key Takeaways

Crypto treasuries are shifting from being static reserves for cryptocurrencies to incorporating a variety of yield-generating assets.
Industry experts predict an increase in interest for tokenized real-world assets and stablecoins in treasury management.
Regulatory frameworks and the appetite for risk will significantly influence which assets companies choose to integrate into their treasuries.
Traditional companies may remain cautious regarding adopting non-mainstream crypto assets due to concerns about returns and regulatory justification.

‘One trick pony’ crypto treasuries may soon face a wave of new rivals

“The next phase of Web3 treasuries involves transforming balance sheets into dynamic networks that can stake, restake, lend, or tokenize capital in transparent and auditable ways,” explained Maja Vujinovic, CEO of the Ethereum-focused treasury company FG Nexus.

The surge in the number of crypto treasuries has been significant this year, with a report from asset manager Bitwise highlighting 48 new instances of Bitcoin being incorporated into balance sheets during the third quarter of 2023.

Cryptocurrencies, Digital Asset Holdings, Digital Asset, Digital Asset Management Source: Bitwise

Key Trends in Treasury Asset Allocation

Sandro Gonzalez, co-founder of the Cardano-based project KWARXS—which integrates real-world solar infrastructure with blockchain technology—indicated that Digital Asset Treasuries (DATs) will transition from speculative storage to more strategic allocations.

Gonzalez noted, “The next wave of adoption will involve assets that connect blockchain participation to tangible outputs, such as renewable energy, supply chain assets, or mechanisms for carbon reduction.” He emphasized that this evolution will change how organizations perceive balance sheets in the Web3 landscape—not just as places to store value but as tools for making measurable, sustainable contributions to economic activities.

Expanding Beyond Cryptocurrencies

Brian Huang, CEO of the crypto investment platform Glider, stated that the range of assets that can be included as treasury assets is limited only by what exists on blockchain networks.

“On-chain stocks and tokenized real-world assets are obvious candidates for treasury inclusion. Given the surge in gold prices this year, holding tokenized gold is considerably easier than managing physical gold,” he shared.

John Hallahan, director of business solutions at digital asset custody platform Fireblocks, predicts that there will be an increased adoption of stablecoins, tokenized money market funds, and tokenized U.S. Treasurys. “The next wave of digital assets for treasury purposes is likely to consist of cash-equivalent instruments like stablecoins and tokenized money market funds,” he said.

In July, the digital media and entertainment company GameSquare Holdings made headlines by purchasing an NFT of a Cowboy Ape for $5.15 million as part of a strategic investment, in addition to Ether.

Cryptocurrencies, Digital Asset Holdings, Digital Asset, Digital Asset Management Source: GameSquare Holdings

Nicolai Søndergaard, a research analyst at the on-chain analytics platform Nansen, believes that future asset adoption will largely be influenced by regulatory measures and the risk appetite of companies. “While it’s hard to predict definitively, I wouldn’t be surprised to see companies consider treasury assets that weren’t previously regarded as viable,” he stated.

Considerations for Future Asset Adoption

Marcin Kazmierczak, co-founder of the blockchain oracle provider RedStone, argues that virtually any tokenized asset can be kept as a treasury reserve asset; however, the actual adoption will depend on factors such as accounting principles, regulatory compliance, and fiduciary duties.

“It’s easier to justify Bitcoin than to hold a speculative NFT with limited buyers. The true limit arises when liquidity diminishes, and the board can’t adequately explain its holdings to shareholders or regulators,” he noted.

In the long run, Kazmierczak anticipates that while the top five cryptocurrencies may see broader adoption, traditional companies might still hesitate because the risk-adjusted returns are often insufficient to warrant such a shift. “Tokenized real assets might become more popular if legal frameworks improve, but non-mainstream Web3 assets will likely remain experimental, primarily appealing to crypto-native firms or venture capitalists prepared to take on that level of risk,” he asserted.