Corporate Bitcoin treasury unwind accelerates as KULR sells 90% of holdings

A growing number of publicly listed companies that adopted Bitcoin as a corporate reserve asset are now liquidating holdings at a loss, reversing the treasury strategy that fueled the 2021-2022 bull market narrative.

NYSE-listed KULR Technology transferred 145.8 Bitcoin valued at roughly $9.45 million to Coinbase Prime on July 24, according to blockchain analytics firm EmberCN. The transaction leaves the company with just 100 Bitcoin, worth about $6.47 million — a reduction of more than 90% from its peak holdings of 1,021 Bitcoin.

KULR's average purchase price was $98,923 per Bitcoin, while its average selling price came in at $74,368, EmberCN data show. That gap has produced an estimated realized loss of $22.62 million on the company's Bitcoin trades. The firm has also removed a dedicated Bitcoin holdings page from its website and stopped mentioning the asset on its official X account, suggesting a full retreat from the strategy.

The selloff is not isolated. A growing list of publicly listed companies that adopted Bitcoin and crypto treasury strategies are now reducing exposure, selling holdings, or shifting toward active treasury management, according to a review of corporate disclosures. The reversals reflect pressure from crypto volatility, debt obligations, liquidity needs, and changing business priorities.

Why Corporate Treasuries Are Unwinding

The corporate Bitcoin treasury thesis gained traction in 2020 and 2021 when MicroStrategy began accumulating Bitcoin as its primary reserve asset, followed by a wave of smaller companies. The narrative held that Bitcoin's asymmetric upside and limited supply made it a superior store of value compared with cash or Treasuries.

That bet has soured for many latecomers. Bitcoin traded at roughly $64,800 as of July 24, down about 50% from its all-time high near $109,000 in October 2025, according to CoinGecko data. Companies that bought near the peak now face pressure from shareholders, auditors, and lenders to reduce exposure.

KULR's experience illustrates the risk. The company's average purchase price of $98,923 per Bitcoin means it was buying during the 2024-2025 rally, when corporate enthusiasm for crypto treasuries was at its peak. Selling at $74,368 represents a 25% loss on each coin traded.

What It Means for Bitcoin's Institutional Narrative

The unwind carries implications beyond individual balance sheets. The "corporate treasury adoption" narrative was a major bullish driver for crypto markets during the last cycle, cited by analysts as evidence that Bitcoin was transitioning from a speculative asset to a mainstream corporate reserve.

If more companies follow KULR's path, the selling pressure could accelerate. Corporate Bitcoin holdings across publicly listed companies total tens of thousands of coins, according to data from Bitcoin Treasuries. A coordinated or gradual liquidation of those positions would add supply to a market already grappling with macroeconomic headwinds.

The shift also undermines the institutional adoption thesis that underpinned much of the 2024-2025 rally. Without corporate buyers adding to balance sheets, Bitcoin's demand profile narrows to retail, ETF flows, and long-term holders — a less stable foundation for price appreciation.

For investors, the development underscores the volatility and potential downside of holding digital assets on corporate balance sheets. KULR's experience serves as a cautionary tale for other companies considering similar strategies without robust hedging mechanisms.

This article is for informational purposes only and does not constitute investment advice.