The corporate Bitcoin treasury model has undergone a sharp reversal, with the 50 largest publicly listed Bitcoin holders losing more than $80 billion in combined market value as financing premiums turned into discounts. Their aggregate capitalization fell from $150 billion in July 2025 to $67 billion by August 2026, according to the Financial Times; another analysis put the group at $124 billion a year earlier and estimated a roughly $57 billion decline over 12 months. Strategy, formerly known as MicroStrategy, accounted for approximately $79 billion of the decline from its peak, contributing to an estimated $83 billion wipeout across the group. Forty-three of the 50 companies now trade below their pre-Bitcoin strategy share prices, and 35 have lost at least half their value. The companies became net sellers in July 2026, selling 2,500 more Bitcoin than they purchased, as the model of issuing equity or debt to buy more Bitcoin broke down. Strategy holds 840,447 Bitcoin and faces approximately $1.5 billion in annual dividends on its STRK and STRC preferred shares. Its diluted mNAV stood at about 0.74 times on Aug. 27, near the raw value of its holdings and leaving little premium to fund further purchases. Arthur Hayes said the stall in Bitcoin near $80,000 is enough to break Strategy’s “perpetual motion” financing model and that Michael Saylor faces issuing dilutive shares, selling Bitcoin, or cutting preferred dividends. As of May the firm had roughly 18 months of dividend coverage before needing new funding. Strategy has already sold Bitcoin to fund preferred dividends, interest and buybacks, while saying it expects to remain a net buyer longer term. Spot Bitcoin ETFs offer direct exposure without the dilution, management risk or premiums tied to treasury-company stocks.