Ethereum treasury companies are becoming increasingly appealing investment vehicles
Ethereum treasury companies are becoming increasingly appealing investment vehicles – even more so than U.S.-listed spot Ethereum ETFs – according to Geoffrey Kendrick, global head of digital assets research at Standard Chartered.
According to a report by The Block, Kendrick said that net asset value (NAV) multiples for ETH treasury firms have begun to stabilize above 1.0, signaling renewed investor confidence. NAV multiples measure a company’s market capitalization relative to the value of its ETH holdings. Kendrick emphasized that this normalization reflects the value of these firms beyond simple asset backing.
“I see no reason for the NAV multiple to go below 1.0,” Kendrick said, citing their role in offering “regulatory arbitrage opportunities” unavailable through traditional ETF structures.
Unlike U.S. spot Ethereum ETFs — which are currently barred from staking and participating in decentralized finance (DeFi) protocols — treasury firms offer more comprehensive exposure to ETH price appreciation, staking rewards, and ETH-per-share growth.
One firm in particular, SharpLink Gaming (SBET), was highlighted as a prime example. Backed by Joe Lubin, Ethereum co-founder and CEO of Consensys, SBET has long operated as a public ETH treasury company. Kendrick noted that its NAV multiple has recently returned to slightly above 1.0, signaling stable valuation amid growing institutional interest.
READ MORE:
This Month’s Hottest Crypto Narratives, According to CoinMarketCap
Kendrick also revealed that since June, ETH treasury firms have acquired 1.6% of the total ETH supply — roughly matching the accumulation pace of U.S. spot ETFs during the same period. Last week, he projected that ETH treasury companies could eventually control up to 10% of all circulating ether, a tenfold increase from current levels.
With U.S. ETFs restricted by regulatory limitations, treasury companies may increasingly become the preferred route for institutional investors seeking full-spectrum Ethereum exposure.
Kosta Gushterov
Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.
