- Scaramucci calls crypto treasury firms a fading trend, questioning the value of paying premiums for indirect crypto exposure.
- Firms like BitMine and Metaplanet are copying Strategy’s Bitcoin model, adding big names like Thomas Lee and Eric Trump to boost credibility.
- While Strategy continues to outperform most crypto ETFs, Scaramucci urges investors to scrutinise fees and structure before buying in.
Anthony Scaramucci, Founder and Managing Partner at SkyBridge Capital, has dismissed the ongoing boom in crypto treasury companies as unsustainable. In an interview with Bloomberg, he warned that the growing number of businesses following this model is part of a short-lived trend.
He criticised the logic behind investing in firms whose main purpose is to hold crypto assets, noting that investors could instead buy those assets themselves without paying the added cost of a company’s overheads or fees.
Scaramucci raised a practical point for investors: if a company only puts part of its capital into digital assets, it might make more sense to invest that money in the asset directly rather than through the company’s shares.
The question is, if you’re giving somebody $10 and they’re putting $8 into Bitcoin, are they going to do well? Yes. But you might have been better off just putting $10 into Bitcoin. I think that’s an issue.
Anthony Scaramucci, Founder and Managing Partner of SkyBridge CapitalRelated: Ethereum ETFs Surge to $4 Billion Inflows, with BlackRock in the Lead
Corporate Treasury Trend Still Gaining Momentum
The model rose to prominence after Strategy began accumulating large amounts of Bitcoin in 2020. This shift redefined the company’s identity and drove a sharp rally in its stock price and has inspired other firms to follow suit.
BitMine Immersion Technologies recently launched a US$250 million (AU$380.08 million) private placement to acquire Ether for its balance sheet. It also brought in Fundstrat founder Thomas Lee to serve as chairman.
To differentiate themselves, some companies have added well-known names to their boards. For example, Metaplanet has Eric Trump, while Sharplink Gaming has named Joe Lubin, Ethereum’s co-founder, as its board chair after its pivot towards holding Ethereum.
Scaramucci made clear that Strategy’s situation is different because the company has additional revenue streams beyond its crypto holdings. However, he emphasised that investors should closely examine the operational costs behind each treasury firm before investing.
SkyBridge’s crypto ETF, which includes Strategy as a top holding, competes in a crowded field of crypto-related investment products. Still, Strategy has outpaced the majority of these ETFs in performance this year.
Related: SharpLink Bets Big on Ethereum With US$463M Buy, Becomes No. 2 Holder
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