The Rise of Bitcoin Stocks and Bonds
Although Strategy (MSTR) pioneered the trend back in 2020, the follow-on adoption by others was slow. However, after yet another cycle of bear market and bull market activity, as well as a major 2023 FASB update for how bitcoin is accounted for on balance sheets, the years 2024 and 2025 have ushered in a new wave of companies adopting bitcoin as a treasury asset.
This article explores that trend, and examines whether it’s good or bad for the Bitcoin ecosystem as a whole. It also touches on the topic of bitcoin as a medium of exchange vs a store of value, which in my view is commonly misunderstood from an economic perspective.
Back in August 2024 when this trend was pretty nescient, I wrote an article called “A New Look at Corporate Treasury Strategy” that explained the usefulness of bitcoin as a corporate treasury asset. Back then, only a handful of companies were making use of it at scale, and since then there’s been a wave of new and existing companies adopting the strategy. And the ones that were doing it at scale back then, such as Strategy and Metaplanet, are up huge in terms of price and market capitalization.
That article explained why corporations should consider implementing the strategy. But what about investors? Why has this become so popular with them? From an investor perspective, why not just buy bitcoin? There are a couple of primary reasons.
