The Rise and Risks of Digital Asset Treasuries in 2025
The emergence of digital asset treasury (DAT) companies has marked a significant trend in the cryptocurrency sector throughout 2025, with firms accumulating tokens like Solana’s SOL on their balance sheets to capitalize on network growth. However, experts caution that the sustainability of these entities depends on effective capital management and diversified operations to mitigate fluctuations in token values.
Understanding the mNAV Challenge
DAT companies, particularly those focused on Solana, face inherent volatility tied to the market value of their held assets. Marco Santori, CEO of Solmate, explained that many such firms rely on a multiple-to-net-asset value (mNAV) model, where their market capitalization exceeds the value of underlying coins.
- In this approach, companies sell stock at a premium to purchase more of the token, thereby increasing net asset value as long as the premium persists.
- Santori noted, “Every dollar of stock they sell, they take that and go out and buy the underlying coin with, and that increases their net asset value. So long as they can maintain the premium, they can just keep doing that.”
- Santori added, “That means a lot of the treasury companies are kind of idle because they can’t grow efficiently and effectively.”
- He emphasized avoiding this instability: “I didn’t want to be subject to that. I didn’t want that for our investors. I want to give them exposure to SOL and to the growth of the Solana network, but I didn’t want them riding an mNAV roller coaster.”
This pure-play treasury model offers potential for growth but becomes problematic when token interest declines. Falling prices lead to reduced mNAVs, limiting efficient expansion.
Pure-play DATs, without additional revenue streams, are particularly vulnerable to these market swings, potentially stalling operations during downturns.
Solmate's Validator-Centric Strategy
Solmate differentiates itself by integrating validator services and infrastructure, drawing from Santori’s prior experience with the DeFi Development Fund’s Solana DAT. The company has shifted toward a bare-metal server model, providing dedicated physical hardware for high-performance computing.
- Bare-metal servers offer single-tenant access, ideal for proof-of-stake protocols like Solana and Ethereum, enabling active participation in governance and validation.
- Santori described this as an “infrastructure flywheel”: “To do that, you have to have hardware. You have to have bare metal. You have to be able to offer more services on top of your own validator. That’s why we believe it’s a virtuous cycle.”
- Hedge funds seek co-location services for faster order execution, which Solmate supports by loading validators with substantial SOL stakes.
- This positioning increases selection as block leaders in epochs, allowing more transaction validation and fee generation, with proceeds reinvested into additional SOL purchases.
In Solana’s ecosystem, designed for high-throughput applications such as exchanges and trading platforms, Solmate targets institutional demand for low-latency access.
In December 2025, Solmate acquired RockawayX’s operations, including validator infrastructure, onchain liquidity, and funds, resulting in a combined entity managing over $2 billion in assets. This move bolsters Solmate’s capacity to offer diversified services beyond simple token holding. What could this mean for the future of DATs? As the sector evolves, strategies emphasizing operational revenue may determine which firms endure market cycles and contribute to broader DeFi infrastructure.
