Written by: Sanqing
I. Introduction
Digital assets, especially Bitcoin and Ethereum, are no longer marginal investments, but have gradually evolved into a force that cannot be ignored. In 2024, Bitcoin performed particularly well, with a return rate of more than 113%, significantly surpassing all major traditional asset classes, which further attracted widespread attention from institutional investors.
Currently, the total value of global investment assets has exceeded 200 trillion US dollars, of which cryptocurrencies account for about 1.5%. This growth trend has brought new opportunities for companies, but also unprecedented challenges. This article will deeply analyze the different strategies, practices and potential risks of listed companies in the field of crypto assets from the three dimensions of "basic moves", "brilliant moves" and "common moves" in Go.
II. "Ben Shou": Robust Crypto Asset Allocation and Operation
Features: Risk control as the core
Listed companies with the "main hand" strategy usually view crypto assets as an alternative reserve asset, aiming to diversify the risk of traditional currency depreciation, or as a natural extension of their existing business. Its characteristics are that the investment scale is relatively controllable, has a logical connection with the company's main business, and focuses on compliance and transparency. These companies usually do not use crypto asset investment as their main source of profit, but as a tool for financial management or business support.
The adoption of Bitcoin as a treasury asset by non-cryptocurrency companies highlights the growing acceptance of Bitcoin as a legitimate store of value (similar to digital gold) on corporate balance sheets. The move marks a shift in corporate interest in digital assets from pure speculation to a more institutional, long-term perspective.
Traditionally, corporate treasury departments mainly hold cash and cash equivalents to ensure liquidity and stability. However, some companies have begun to hold reserves in multiple currencies, and some companies have explicitly regarded Bitcoin as their "primary treasury reserve asset" and regard it as a "substitute for traditional cash reserves." Such a strategic decision by a non-cryptocurrency company is directly in line with the value proposition of "digital gold", indicating that institutions increasingly believe that Bitcoin can hedge against inflation and economic uncertainty, making it go beyond a purely speculative asset and become part of corporate treasury management.
Case Study: Bitcoin as a Reserve Asset
Tesla: Cautious Trials and Adjustments
Tesla boldly announced in February 2021 that it had purchased approximately 42,902 bitcoins, worth approximately $1.5 billion, in an effort to “maximize cash returns.” The move was seen as a major endorsement of cryptocurrency by the tech giant, driving up bitcoin prices.
However, Tesla's strategy is not static, and its adaptability is a key feature of the "hand" strategy. The company suspended accepting Bitcoin payments in May 2021 due to energy consumption issues with Bitcoin mining, and sold 75% of its Bitcoin holdings in July 2022, reducing its reserves to 10,725. Despite the large-scale sales, its remaining Bitcoin holdings still achieved significant profits in the market rally, and were worth more than $1 billion at the end of 2024, with a reported profit of $495 million.
This strategy of making pragmatic adjustments based on external factors (such as environmental issues with Bitcoin mining) after initial bold investments, and being willing to divest a large portion of assets while retaining strategic holdings, demonstrates the importance of flexibility, responsiveness to stakeholder concerns, and disciplined profit realization when managing highly volatile assets. This approach distinguishes it from blind, speculative gambling.
Pure speculation might double down without regard for external factors, or abandon assets entirely when they lose money. Tesla’s decision to sell most of its holdings due to environmental issues, while retaining profitable core holdings, shows a nuanced, responsible approach that prioritizes long-term brand value and risk management over pure, unbridled speculation. This considered response, even after an initial bold entry, embodies the essence of the “hands-on” strategy.
Semler Scientific: The Exploration of Alternative Cash Reserves
Healthcare company Semler Scientific announced last May that it would adopt Bitcoin as its main reserve asset and initially acquired 581 Bitcoins for $40 million. Since then, the company has continued to increase its holdings and as of the latest announcement, it holds 3,192 Bitcoins, with a total cost of $280.4 million and an average purchase price of $87,854 per Bitcoin. The company's board of directors believes that holding Bitcoin is the best choice for its cash reserves and sees it as a substitute for traditional cash reserves.
The adoption of Bitcoin as a primary treasury asset by a healthcare company signals a broader, cross-industry validation of Bitcoin’s potential role in corporate treasury management. This has expanded the narrative of “hedge against inflation” and “digital gold” beyond the tech and crypto-native sectors, indicating that macroeconomic concerns and the search for alternative store-of-value assets are driving more diversified public companies to consider including Bitcoin in their balance sheets.
For a company that is not in the tech or crypto industry, the inclusion of Bitcoin as a "primary treasury reserve asset" is a major break from traditional treasury management. This decision means that the company is convinced of Bitcoin's long-term value proposition as a hedge against inflation and economic uncertainty, rather than short-term speculation. It shows that the "main hand" strategy of treasury diversification is evolving to include non-traditional assets, and this evolution is based on a mature assessment of macroeconomic risks.
Case Study: Core Business Integration for Crypto-Native Enterprises
Coinbase: Long-term holding and ecosystem support
As one of the largest cryptocurrency exchanges, Coinbase has held Bitcoin and other cryptocurrencies since its founding in 2012, viewing them as long-term holdings to support the crypto economy and ecosystem. In 2021, Coinbase updated its investment strategy, pledging to invest $500 million in cash and equivalents in a diversified portfolio of crypto assets and allocating 10% of its quarterly net income to the portfolio.
Coinbase embodies a "stake in the universe" approach through its strategy of holding a diversified portfolio of crypto assets and allocating a portion of its net income to that portfolio. By tying its financial interests directly to the growth and stability of the crypto economy it serves, Coinbase strengthens investor confidence and demonstrates a deep commitment to the digital asset space. This is more than just treasury management, it is a strategic investment in the markets it facilitates, solidifying its credibility as a crypto-native entity.
For crypto exchage, holding crypto assets is an obvious “native hand”. However, the move to commit to allocating a percentage of net income to the portfolio, and holding a diversified portfolio (not just Bitcoin), demonstrates a deeper strategic alignment with the entire crypto ecosystem. This active investment in the assets it trades and the ecosystem it supports goes beyond basic financial management; it is a strategic move to build trust, demonstrate long-term belief, and directly benefit from the overall health and growth of the crypto economy.
Block: Strategic Vision and Digital Payment Integration
Block (formerly Square) holds 8,038 bitcoins, and its investment is highly consistent with the company's expansion vision in the field of digital payments and financial technology. CEO Jack Dorsey believes that Bitcoin will become the native currency of the Internet, and the company sees its investment as a tool for "economic empowerment" and supports Bitcoin development.
Block's Bitcoin holdings are not just a diversification of treasury assets, but also a direct reflection of its CEO's strategic vision for the future of digital payments and the Internet.
This demonstrates that the "hand" can be deeply integrated into a company's long-term strategic narrative, transcending simple financial management to become a core component of its identity and future direction. This is a fundamental move to strengthen the company's mission and align its financial assets with its technology and philosophy commitment. Unlike many companies that view cryptocurrencies as standalone investments, Block's strategy is explicitly tied to its fundamental belief in Bitcoin as the "native currency of the Internet." This elevates its crypto holdings from pure financial assets to strategic assets that support its business development, product innovation, and long-term market positioning. This deep integration of treasury strategy with the company's vision is the hallmark of a well-executed "hand".
III. “Master Hands”: Innovative Crypto Asset Financing and Growth Strategies
Features: Empowering enterprise value with encrypted assets
The "brilliant hand" strategy goes beyond simple asset holdings. It deeply integrates crypto assets into the company's capital structure, business model or growth engine, aiming to create new value streams or significantly enhance the competitiveness of existing businesses. The core is to transform the characteristics of crypto assets (such as decentralization and programmability) into a company's unique competitive advantage through clever financial engineering or business innovation. These strategies often require a high degree of expertise, forward-looking thinking and precise control of risks.
Case Study: MicroStrategy’s “Bitcoin Standard” and Capital Stack
Multi-level financing mechanism and Bitcoin accumulation
MicroStrategy (now Strategy), under the leadership of Michael Saylor, has shifted its core business from enterprise analytical software to a Bitcoin-centric strategy since 2020, becoming the world's largest corporate Bitcoin holder. Its real innovation lies in its "capital stack" financing model, which efficiently converts fiat capital into Bitcoin exposure by issuing convertible notes, different classes of preferred stock (Strife Preferred Stock, Strike Preferred Stock, Stride Preferred Stock) and common stock, without giving up control or significantly diluting shareholder value.
MicroStrategy's "magic trick" lies not only in buying Bitcoin, but also in how it finances these purchases. Its multi-layered capital stack is a complex financial innovation that enables it to take advantage of different investors' risk preferences and effectively create "synthetic bonds" backed by Bitcoin. This transforms a simple treasury strategy into a complex financial product, distinguishing it from simple Bitcoin accumulation and creating a unique market position. This deep financial engineering provides a competitive advantage that is difficult to be replicated by other companies unless they have similar expertise and market trust.
Specifically, convertible notes offer low risk and potential returns adjacent to Bitcoin, attracting institutional debt investors; Strife preferred shares mimic high-grade fixed income, attracting conservative investors; Strike preferred shares combine fixed income and equity upside potential; Stride preferred shares act as a secondary capital buffer, attracting investors seeking high returns; and common shares are for conviction investors who are bullish on Bitcoin. As of May 2025, Strategy has accumulated 580,250 Bitcoins, purchased through equity and debt financing and operating cash flow.
Attractiveness to investors and market positioning
MicroStrategy's strategy makes its shares a leveraged bet on Bitcoin, attracting investors seeking exposure to cryptocurrencies but wanting to invest through a regulated public company. Michael Saylor aims to challenge the trillion-dollar global bond market and absorb the needs of different capital by issuing Bitcoin-linked income instruments.
MicroStrategy has effectively created a new type of investment vehicle: a publicly traded proxy for direct Bitcoin exposure, but with a capital structure carefully designed to attract a wider range of institutional investors than direct cryptocurrency ownership or traditional Bitcoin ETFs. This expands the investable universe of capital interested in cryptocurrencies, providing a diversified risk profile within a single corporate entity. Although Bitcoin ETFs already exist, MicroStrategy offers a different alternative.
By structuring its balance sheet around Bitcoin and issuing various debt/equity instruments, it allows investors with different risk appetites to gain exposure to Bitcoin, potentially attracting investors who are unable or unwilling to invest in cryptocurrencies directly or through traditional ETFs due to regulatory or internal authorization restrictions. This strategic market positioning creates a unique niche and attracts capital that might otherwise sit on the sidelines in the crypto market.
Case Study: SharpLink Gaming’s Ethereum Strategy
Imitation and innovation: financing model and business expansion
Sports betting platform SharpLink Gaming has announced an ambitious plan to invest $1 billion in Ethereum, a strategy inspired by Michael Saylor’s Bitcoin strategy. The plan is to raise funds to buy Ethereum by issuing up to $1 billion in common stock, with Ethereum co-founder Joseph Lubin as chairman of the board, adding credibility and professionalism to the investment.
SharpLink Gaming’s adoption of an Ethereum strategy similar to MicroStrategy’s suggests Saylor’s “brilliance” is becoming a replicable model for cryptocurrencies beyond Bitcoin. This signals a trend where companies will adopt similar capital raising and treasury strategies for other major digital assets, expanding the scope of corporate cryptocurrency participation beyond Bitcoin and signaling growing confidence in the broader digital asset ecosystem. MicroStrategy pioneered the “Bitcoin Standard.”
SharpLink Gaming’s application of a similar model to Ethereum is a broader validation of this strategic approach. The involvement of Ethereum co-founder Joseph Lubin further legitimizes this “Altcoin” adaptability, demonstrating that “sharp hands” are not limited to Bitcoin, but can also be applied to other foundational blockchain assets with strong ecosystems and clear use cases such as smart contracts and dApps. This demonstrates a strategic evolution from a single asset focus to a multi-asset digital treasury strategy.
Market reaction and potential impact
SharpLink Gaming's announcement has triggered significant market interest and positive reaction, with its stock price soaring more than 400%, including a 24.75% increase on June 3, 2025 alone. This shows that the market has confidence in its bold financial strategy and its intention to lead the Ethereum Treasury plan. Investing in Ethereum is not only a financial decision, but also a strategic decision to use Ethereum's blockchain technology (smart contracts, dApps) to enhance services and remain competitive in the rapidly changing technology industry.
The positive market reaction to SharpLink Gaming's announcement demonstrates that investors are increasingly inclined to reward companies that clearly articulate their strategic rationale for cryptocurrency involvement, especially when such involvement is integrated with the core business and driven by trusted leaders. This moves beyond mere "cryptocurrency hype" to recognition of long-term value creation through blockchain technology, signaling a maturity in investors' understanding of the space.
The surge in share prices was not just due to the purchase of Ethereum; it was also due to the company’s strategic intent to use Ethereum technology to develop dApps and smart contracts to enhance its sports betting platform. This shows that the market is beginning to distinguish between speculative cryptocurrency investments and those with a clear, technology-driven business integration strategy, thus reinforcing the concept of “good hands”. The involvement of well-known figures in the blockchain field such as Joseph Lubin also adds confidence and legitimacy to investors.
The Risk-Return Tradeoff of Innovation Strategies
Although "brilliant hands" have great potential, they are also accompanied by high risks. MicroStrategy's strategy makes its stock price highly correlated with Bitcoin, facing huge market volatility risks. Analysts pointed out that not all companies can successfully copy MicroStrategy's strategy because its advantage lies in financial innovation rather than simple copying. Simple imitation may lead to the consequences of "vulgar hands" because of the lack of a deep understanding of one's own risk tolerance and market environment.
Although MicroStrategy has demonstrated a "brilliant hand", the question is whether other "Bitcoin treasury companies" can establish similar competitive advantages or "economic moats". Without unique financial innovation or deep business integration, simply holding cryptocurrencies, even if the financing method is clever, may not be sustainable or provide long-term differentiation. If the market dynamics are not deeply understood and the asset appreciation is only pursued, it may eventually lead to the result of "common hands".
It’s hard to say which treasury businesses are more worthy of investment than others, as none of them have an economic moat to retain investor capital. This is a key challenge for any company trying to pull off a “smart move.” If the innovation is purely financial and easily replicable, or if its underlying business doesn’t support it (as MicroStrategy’s core business shows), then a “smart move” can quickly turn into a “bad move” as the company becomes overly dependent on the volatile crypto market.
IV. “Common Hands”: Blindly Following Trends and Failed Crypto-Asset Attempts
Characteristics: Speculative behavior with little strategic depth
The "common hand" strategy usually manifests itself as a blind pursuit of market hot spots, lacking a deep understanding of the nature of crypto assets, risks and their own business fit. These attempts are often aimed at short-term speculation and fail to establish a sustainable business model, ultimately leading to financial losses, reputational damage, and even regulatory penalties or bankruptcy liquidation. The core lies in irrational decision-making, rough execution and underestimation of risks.
Many cases of “cheap hands” are characterized by companies entering the cryptocurrency space at the peak of market hype, driven by FOMO and the desire for quick gains rather than based on fundamental analysis or long-term strategy. This often results in investments made at inflated prices and significant losses in the inevitable market correction, indicating a failure to apply prudent investment principles to emerging asset classes, such as SoftBank’s Masayoshi Son investing in companies when Bitcoin was near its all-time high. Individual investors are more likely to be swayed by market mania, resulting in poorly timed or ill-conceived investments. This behavior is a direct cause of “cheap hands” results because it prioritizes speculative gains over sound strategic planning and risk management.
Case analysis: The trap of riding on hot topics and concept hype
Meitu: Investment losses and core business difficulties
In 2021, Meitu announced that it had purchased Bitcoin and Ethereum for approximately US$100 million (approximately RMB 670 million), becoming one of the earliest Hong Kong-listed companies to "speculate in cryptocurrencies". This strategy was seen by the market at the time as a signal to enter the Web3 and blockchain fields, and the stock price once soared by more than 14% in the short term. However, with the drastic fluctuations in the cryptocurrency market, Meitu suffered asset impairment in the first half of 2022, with a floating loss of RMB 275 million to RMB 350 million.
Although the floating profit of Ethereum once covered the floating loss of Bitcoin, the overall value has evaporated by 80% compared to the peak. Coupled with the lack of development of the main business and the loss of Meitu Xiuxiu users, the company as a whole faces severe challenges. At that time, the outside world generally believed that Meitu's strategy of trying to find new growth points through digital assets did not work, but instead increased financial risks.
As the crypto market gradually recovered, Meitu finally chose to sell all its crypto assets at the end of 2024, realizing a cumulative net profit of approximately RMB 571 million and successfully "withdrawing unscathed". Although this wave of operations ultimately made a profit, its CEO also admitted that if he had the opportunity to choose again, he would prefer to invest funds in innovative projects related to the main business, because the management costs and uncertainties brought about by currency price fluctuations are too high. The case of Meitu reveals that when companies face bottlenecks in their main business, blindly betting on high-risk assets may make short-term profits, but this speculative behavior that lacks strategic depth and deviates from the core business is a typical manifestation of "vulgar hands".
GameStop: A speculative attempt in a transformation dilemma
In March 2025, GameStop's board of directors hastily revised its investment policy, listed Bitcoin as an asset that can be held, and raised $1.3 billion to $1.5 billion through zero-coupon convertible bonds in the same month, claiming that "all of it can be used to purchase coins depending on market conditions." Just two months later, the company announced the first purchase of 4,710 bitcoins, with a total cost of approximately $510 million, accounting for 11% of its cash reserves at the end of fiscal 2024. Stimulated by the "Follow MicroStrategy" narrative, GME soared 7% before the market opened on the day of the news, but closed down 10%-a typical hot sentiment surge and fall, showing that the market lacks long-term confidence in this "gamble-style transformation."
In order to obtain the funds for the purchase of coins, GameStop has already pushed the number of outstanding shares to 395 million shares by 2024 through ATMs and rights offerings, a year-on-year surge of 29%; if all 0% convertible bonds are converted, the equity will be diluted by more than 10%. At the same time, its revenue in fiscal 2024 fell from US$5.27 billion in the previous year to US$3.82 billion, and its main business of physical retail continued to shrink. In the absence of stable cash flow and the continuous dilution of equity, GameStop placed its core growth bet on the highly volatile Bitcoin, which is more of a "FOMO-oriented" short-term speculation than a digital strategy.
Precisely because of the lack of strategic depth and rough risk management, this move has become a case of "vulgar hands": a correction in Bitcoin prices may not only make it difficult for the company to obtain long-term profits, but may also accelerate the deterioration of fundamentals due to equity dilution and debt leverage, causing sharp fluctuations in stock prices, and making its "big gamble transformation" face severe challenges.
“Non-core investors” are more susceptible to the general risks and challenges of crypto asset investing
Valuation Bubble and Asset Idleness
The crypto asset market has an obvious "idle asset" feature, and its price is determined by marginal transactions, which is then multiplied by the number of crypto assets to obtain the crypto asset market value.
However, there is a "virtual" component in this market value, which will be discounted when converted to the legal currency system. This is especially true for crypto assets with low secondary market liquidity, small circulation or easily manipulated prices. From the perspective of the real economy, the source of income in the crypto asset market is different from that of the mainstream financial market, which is essentially production and operation activities in the real economy.
When market pricing has fully reflected investor expectations, asset prices often face adjustment pressure. The cryptocurrency market is heavily influenced by market sentiment, with positive sentiment generally driving prices up, while negative sentiment can lead to selling. This sentiment-driven behavior makes it difficult to predict the price fluctuations of cryptocurrencies relative to stock indices.
Lack of supervision and market fragility
A significant risk of the crypto asset market is its lack of regulation and safety net. Currently, regulated crypto asset activities account for only a small part of the entire market, and most activities are unrestricted risk-taking, such as CEX offering more than 100 times leverage trading, which is unimaginable in the mainstream financial market.
When a crisis occurs in the crypto asset market, whether it is a sharp drop in prices, huge losses for investors, or a run on centralized institutions and bankruptcy, there will be no support from government safety net measures. Crisis management in the crypto asset market can only be carried out spontaneously and disorderly to a large extent, which has caused some investors and institutions to suffer irreversible damage.
The cross-sector and cross-border characteristics of crypto assets reduce the effectiveness of uncoordinated regulatory measures by countries. International organizations such as the IMF have called for crypto asset service providers to obtain licenses, registrations and authorizations, and for additional prudential requirements to be imposed on entities that perform multiple functions to address conflicts of interest. The lack of uniform accounting standards has also led to heterogeneity in financial reporting practices, which may affect analysts' views on corporate crypto asset holdings and increase information asymmetry.
Information Asymmetry and Investor Sentiment
Crypto asset holdings are associated with significantly higher errors and dispersion in analysts’ earnings forecasts, and the dispersion of analysts’ recommendations is also positively correlated with crypto asset holdings. This suggests that crypto assets bring complexity to analysts’ decision making and increase information asymmetry. In the absence of consistent accounting standards, it is difficult for analysts to accurately judge the impact of crypto asset holdings on companies’ financial performance.
Investors with similar investment strategies, holdings, algorithms and sentiments take concerted actions during market turmoil, further amplifying market turmoil, especially the herd effect of retail investors.
This sentiment transmission mechanism, coupled with the inherent interconnected channels of the crypto asset market, allows risks to be transmitted quickly. For example, when a DeFi project encounters problems, similar projects may suffer runs due to users' doubts about their sustainability, even if there is no direct connection on the balance sheet.
V. Conclusion
The exploration of listed companies in the field of crypto assets is like playing Go, with solid "basic moves", exquisite "brilliant moves", and even "common moves" that lead to mistakes. Successful companies are able to integrate digital assets into their core strategies, prudently manage risks, and actively adapt to the ever-changing regulatory environment.
The success of listed companies in the crypto-asset space will depend on whether they can go beyond short-term speculation and view digital assets as long-term strategic assets and combine them with the core value creation of the enterprise. This means that it is necessary to have a deep understanding of the potential of blockchain technology and the crypto-economy, rather than just focusing on short-term fluctuations in token prices. For companies, the real "magic hand" lies in being able to foresee and shape the future of the digital economy, and using crypto-assets as a tool to achieve this vision, rather than just a digital game on financial statements.
