Bloomberg: Several crypto treasury companies shift to AI but still fail to regain investors

Foresight News reports, according to Bloomberg, that as cryptocurrency prices fall, the previously booming Digital Asset Treasury (DAT) stock market has slumped, with at least a dozen digital asset treasury companies shifting to AI-related businesses in recent months. However, their share prices remain weak. K Wave Media’s stock has dropped by 71% since switching to data center operations in May; Lixte Biotechnology decreased by 33% since agreeing to merge with a battery company in June; AlphaTON Capital declined by 33% since being renamed Alpha Compute in April. In contrast, Bitcoin mining companies transitioning to AI computing infrastructure performed better. For example, CoreWeave currently has a market capitalization of $40 billion, with its stock price rising 80% since its March 2025 public listing. Mining companies such as Hut 8, Iren, and TeraWulf have also attracted more investor attention by converting data centers for AI purposes.

The median decline of US and Canadian DAT stocks tracked by Bloomberg this year is 43%. Bitcoin has fallen 49% from its peak in October last year, with a year-to-date decline of 27%; Ethereum’s year-to-date drop is 38%, and it is down 62% from its historical high in August 2025. The crypto treasury model was pioneered in 2020 by Strategy founder Michael Saylor. The company’s stock price soared more than 3,000% from the end of 2019 to its historical high in November 2024, but has since fallen by 81%, and the company continues to sell off its Bitcoin holdings.