This week, cryptocurrency companies have started to actively acquire digital assets, including ETH, worth over $7.8 billion, indicating a growing interest in this field from the corporate sector.
Growing Interest in ETH
According to Cointelegraph's analysis, at least five public companies have announced purchases of over $3 billion in Ether, which is 45 times the amount of new ETH issued over the past week.
Purchases of Altcoins
Crypto treasury companies have also started showing interest in altcoins. For instance, Tron Inc. plans to raise $1 billion to purchase TRX tokens, while several other companies have announced plans to acquire Solana (SOL), Sui (SUI), or BNB.
Investment Model Risks
According to Galaxy Research analyst Will Owens, crypto treasury companies collectively hold over $100 billion in assets. However, the model of holding assets is subject to risks, and if the equity premium falls, it could lead to problems. There is currently increasing competition among firms, making the model precarious.
The recent surge in crypto purchases illustrates the growing interest of the corporate sector in digital assets; however, investors should be aware of potential risks associated with this model.
