Сэ Табар из Bit Digital делится инсайтами о неблагоприятных условиях для DAT-компаний Translation: CEO Se Tabar of Bit Digital Shares Insights on the Adverse Conditions for DAT Companies

Digital asset treasury (DAT) companies should steer clear of asset-backed debt to endure potential bear market conditions, according to Bit Digital CEO Seth Tabar, speaking with The Block at the Token2049 conference in Singapore.

Tabar focused on the approach to debt financing, stating that leveraging funds allows companies to enhance their cryptocurrency per share without altering the number of shares.

However, selecting the right type of debt is crucial. He emphasized that an improper choice of leverage can easily jeopardize a business.

The head of Bit Digital pointed out that many Ethereum treasuries utilize secured debt, which becomes «extremely risky» during market corrections.

«When asset values plummet sharply, creditors begin demanding repayment, targeting the company’s funds,» he explained.

To mitigate such risks, Bit Digital is opting for unsecured debt. On September 30, the company announced the issuance of convertible bonds amounting to $135 million.

In addition to its cryptocurrency initiatives, Bit Digital is actively developing its artificial intelligence division, WhiteFiber. In August, the organization conducted an IPO, raising $159.4 million, as reported by Bloomberg. Bit Digital retains 71% of its subsidiary’s shares, which now operates as an independent public company.

“For us, the ideal position combines investments in Ethereum and artificial intelligence,” Tabar noted.

He highlighted that this strategy allows for risk diversification and preparation for a bear market.

According to The Block, the growth of treasury-focused companies reflects institutional interest in crypto assets, with public entities expanding their “digital reserves” beyond Bitcoin (4.1% of the market) to Ethereum (2.9%) and Solana (2.6%).

However, altcoin-focused DATs may contribute to premature token monetization by insiders, disrupting the vesting mechanism.

U.S. regulators are already investigating suspicious deals ahead of cryptocurrency purchase announcements. Specifically, the SEC halted trading of shares in Hong Kong’s QMMM Holdings, which planned to acquire Bitcoin, Ethereum, and Solana worth $100 million, due to concerns over price manipulation through social media.

Crypto treasury structures are creating a new trend by issuing their own stablecoins to strengthen their ecosystems and compete with established tokens like USDC.

For example, Sui Group Holdings plans to launch two stablecoins—suiUSDe (offering yields for holders) and USDi (non-yield bearing)—on the Sui blockchain by the end of 2025 in partnership with Ethena. Following a recent $20 million increase, SUI token reserves have exceeded $300 million, intensifying competition in the stablecoin sector.

Bit Digital’s CEO expressed confidence in Ethereum’s long-term potential. According to Strategic ETH Reserve, the corporation holds 120,310 ETH valued at approximately $526.9 million.

At the time of writing, the coin is trading at around $4,388. Over the past 24 hours, it has seen a 2.2% gain, according to CoinGecko.

It’s worth noting that in June, Bit Digital announced a transition from Bitcoin mining to Ethereum staking.