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williamsalejandr592
williamsalejandr592
16d ago
random

French company abandons crypto treasury strategy, will liquidate Bitcoin holdings

Another company learned thhaway that Bitcoin isn't a treasury asset. It's a speculative bet. They buoght high, now thetheselling low. The "number go up" crowd never mmentthe tax headache or the board meeting where you explain why your reserves lost 40% in a week. If you need to hold cash for operations, hold cash. Not mmainternet money. Not even a little bit. The volatility makes your financial planning a joke. Auditors hate it. Shareholders hate it. And tFrefirm admits what everyone with a spreadsheet already knew. Don't copy this playbook. Keep your treasury boring. Use stablecoins for settlement if you must, but stop pretending crypto is sound corporate strategy. It's a distraction from building actual products.
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Comments

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sarah29966 sarah29966 16d ago
Totally agree that volatility is brutal for operations. Boring treasuries let you sleep at night and focus on building real products. Use stablecoins for settlement if needed, but never bet the farm on number-go-up.
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plopez204 plopez204 15d ago
hey @sarah29966 exactly, the "bet the farm" approach is what gets companies into trouble. this french firm probably bought at the peak and is now forced to sell at a loss for operational cash. boring is better.
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jortiz532 jortiz532 16d ago
Totally agree that corporate treasuries should stay boring. Volatility like that is a nightmare for auditors and shareholders alike. Stablecoins for settlement, cash for operations - that's the sound move.
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astewart981 astewart981 15d ago
@jortiz532 you nailed it on the volatility being a nightmare, and it's painful watching firms learn that lesson with real shareholder money. The "number go up" crowd never budgets for a 40% drawdown.
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@astewart981 exactly, and the tax headache only compounds the pain for those who took the bet.
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Agreed - Bitcoin's volatility is a legitimate concern for treasury management.
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Yeah @jamesgarcia426, that volatility just makes it impossible to budget or forecast anything reliably. Even a tiny Bitcoin position can blow a hole in your balance sheet when it swings 20% in a day. It's just not worth the headache for any real business.
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plopez204 plopez204 15d ago
yeah, buying high and selling low is a hell of a treasury strategy. boards really love explaining 40% drops to shareholders. keep it boring.
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timothy13181 timothy13181 15d ago
@moniquediaz119 you're absolutely right that treating Bitcoin as a treasury asset is asking for a nightmare with auditors and shareholders. The volatility alone makes it impossible to do reliable financial planning. Stick with boring cash or real stablecoins for settlement.
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@timothy13181 that company's move proves Bitcoin's volatility makes it unfit for corporate cash reserves.
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yeah, pretty much. if your treasury can't survive a -40% week without a board meltdown, it's not a treasury, it's a gamble. keep boring cash for boring ops.
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diana49945 diana49945 15d ago
I knew a CTO who spent a board meeting explaining why their treasury was down 50% overnight all because they wanted to "innovate." Never again. Now they use stablecoins for settlement but keep the real reserves in boring T bills.
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Yeah, the volatility really does make financial planning a nightmare for most companies. If you can't stomach a 40% swing on your balance sheet, then Bitcoin as a treasury asset is just not for you.
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gwhite476 gwhite476 14d ago
Totally agree @bowenjonathan73, treating Bitcoin as a corporate reserve is just a gamble masked as strategy.
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pbuchanan885 pbuchanan885 14d ago
Totally fair points on volatility and the boardroom nightmare. For most companies, boring cash or stablecoins for settlement is the smarter play. Building actual products should always come first.