Bitcoin treasury companies are being forced to change course as declining stock prices, financing challenges, and a weaker crypto market push firms to sell holdings, reduce debt, and explore new strategies.

Strategy (MSTR) introduced the digital asset treasury (DAT) model in 2020, encouraging publicly traded companies to build Bitcoin reserves using available cash and debt financing. The approach gained momentum as Bitcoin climbed toward its October 2025 peak of nearly $126,000.

However, Bitcoin’s subsequent decline of around 50% has created pressure across the sector. Falling share prices have weakened treasury companies’ ability to raise capital, while debt obligations have forced many firms to reconsider their plans for continued accumulation. Matthew Sigel noted that some companies have abandoned the Bitcoin treasury strategy entirely, while others are cutting their reserves.

Satsuma Technology (SATS) recently approved the sale of all 668 BTC held on its balance sheet, along with a return of capital to investors and a planned delisting from the London Stock Exchange. Meanwhile, Smarter Web Company (SWC) sold 178 BTC to repay a convertible financing arrangement.

Smarter Web CEO Andrew Webley said the company still acknowledges the benefits of both fiat-based and Bitcoin-linked financing structures but no longer views them as the most suitable option going forward.

The trend has also reached other Bitcoin-focused companies. Sequans Communications (SQNS) sold 1,025 BTC and later reduced the majority of its remaining holdings to repay convertible debt. The company has ruled out additional Bitcoin purchases and intends to sell its remaining 658 BTC.

Nakamoto (NAKA) has experienced severe market pressure as well, with its stock down 99% since its May 2025 SPAC listing. The company sold about 284 BTC to raise $20 million in working capital following acquisitions of BTC Inc. and UTXO Management. It also liquidated around 40 BTC obtained through its derivatives strategy. Sigel warned that a large portion of Nakamoto’s remaining 5,342 BTC is pledged as collateral for a Kraken loan scheduled to mature in December.

Bitcoin miners are also adjusting their strategies. Companies including Bitdeer Technologies and MARA Holdings have sold BTC to manage financial obligations while shifting some energy resources and computing capacity toward AI data-center operations.

Other firms are taking similar steps. Empery Digital has reportedly sold a significant portion of its Bitcoin holdings to support share buybacks and reduce debt, while Strategy has sold roughly 3,620 BTC recently and authorized additional sales to build up its U.S. dollar reserves.

Despite the broader pullback, Strategy remains the largest publicly traded Bitcoin holder, with more than 840,000 BTC. Executive chairman Michael Saylor continues to support the company’s long-term Bitcoin approach.

Saylor said Strategy may sell Bitcoin periodically to fund dividend payments, but described such actions as part of treasury management rather than a shift away from its overall Bitcoin strategy.

The sector is also facing organizational changes and stalled deals. Jack Mallers resigned as CEO of Twenty One Capital, while Bitcoin Standard Treasury Company (BSTR), associated with Adam Back, failed to complete its planned merger because of unfavorable market conditions.