Forecast Trend Report by Period
Public companies with large cryptocurrency holdings are seeing paper losses pile up as the digital-asset market slumps.
CryptoPotato reported on June 7 that Bitcoin recently fell to $59,000, its lowest level in about 19 months. The cryptocurrency has plunged by more than $20,000 in roughly three weeks, dragging major altcoins lower and adding pressure on corporate crypto-holding strategies.
On-chain analytics platform Lookonchain said Strategy now holds 843,706 Bitcoin at an average purchase price of $75,600. The company spent about $63.8 billion to acquire the tokens, but the current value of its holdings has fallen to about $51.6 billion.
That puts Strategy's unrealized loss at more than $12 billion, the largest valuation loss in the company's history, Lookonchain said.
BitMine, which has recently been pursuing an "Ethereum version of Strategy" approach, is also nursing steep losses. Lookonchain said the company is sitting on more than $10 billion in unrealized losses on its Ethereum investment after maintaining a bullish view on Ether in recent months.
SharpLink, another corporate holder of Ether, has also taken a hit. The value of its Ethereum holdings has declined by about $1.7 billion, according to Lookonchain.
Japan's Metaplanet has not been spared. Lookonchain said the mark-to-market loss on the company's Bitcoin holdings has exceeded $1.4 billion. The firm had aggressively bought Bitcoin to hedge against the yen's decline and broader macroeconomic uncertainty, but has significantly slowed purchases in recent months.
Forward Industries, which concentrated its investment in Solana, has also posted heavy losses. Lookonchain said the paper loss on the company's Solana investment stands at about $1.14 billion, with high volatility magnifying both gains and losses.
