In this file photo, an electronic signboard at a cryptocurrency exchange in Seoul shows the price of bitcoin having risen to 101.27 million won (US$77,181) during a trading session on March 13, 2024. (Image courtesy of Yonhap)
SEOUL, Aug. 26 (Korea Bizwire) — A new breed of company, built on hoarding cryptocurrencies as core assets, is reshaping stock markets from the United States to Japan — and now South Korea.
But the meteoric rise of these so-called Crypto Treasury Companies (CTCs) has triggered debate over whether they represent innovative investment vehicles or dangerous bets on a volatile asset class.
The model gained prominence last year when U.S.-based MicroStrategy — recently rebranded as “Strategy” — saw its stock price soar after piling billions into Bitcoin. Since then, similar firms have multiplied across the U.S., Japan and Europe, declaring Bitcoin and Ethereum their primary reserves and raising capital through stock and bond sales to expand their holdings.
Investor enthusiasm has exploded in 2025, bolstered by the Trump administration’s embrace of digital assets, including the legalization of stablecoins and calls for “strategic Bitcoin reserves.”
According to Architect Partners, a crypto advisory firm, listed CTCs raised nearly $98.4 billion globally between January and August, compared with just $33.6 billion raised by 10 such firms in all of 2024.
The phenomenon has caught the attention of South Korean retail investors. Shares of Strategy rank as the 17th most-held foreign stock among Korean individuals, with holdings valued at $1.37 billion. In the past month, BitMine, the world’s largest Ethereum-holding CTC, ranked second in net purchases by Korean investors.
In Japan, hotel operator–turned–Bitcoin accumulator MetaPlanet has become the most popular Japanese stock among Korean retail buyers.
But the boom carries clear dangers. Because CTC valuations are closely tied to crypto prices, downturns could send their stock prices into freefall. The Financial Times recently noted that even industry insiders are questioning whether the frenzy has already inflated a bubble. Heavy borrowing to finance crypto stockpiling raises the risk of sudden insolvencies if markets turn.
South Korea is now laying the groundwork for its own CTC sector. After years of restrictions, regulators will allow listed companies to invest directly in digital assets from the second half of 2025, opening the door to legal crypto reserve businesses. Several Kosdaq-listed firms, including BitMax and SGA, have already announced plans.
Analysts caution investors to remain wary. “The key is whether market valuations run far ahead of the actual cryptocurrency held,” said Lim Min-ho, a researcher at Shinyoung Securities. “Ultimately, only companies with credible fundraising strategies and resilience to asset price shocks will endure.”
Industry observers also warn of firms stockpiling little-known tokens as a short-term stock pump. “If it’s not Bitcoin or another proven asset, investors should be extremely cautious,” one digital asset executive said.
Kevin Lee (kevinlee@koreabizwire.com)
