Crypto treasury firms mirror CDO risks from 2008 financial crisis, CEO warns
Crypto treasury firms that hold digital assets on corporate balance sheets can introduce new layers of counterparty risk into what are otherwise bearer assets, according to Josip Rupena, CEO of lending platform Milo and a former Goldman Sachs analyst. He argues these engineered treasury strategies resemble the securitization practices that produced collateralized debt obligations (CDOs) during the 2007–2008 financial crisis.
Rupena explains that companies taking custody of Bitcoin and other digital assets often add exposure that investors did not sign up for. By pooling, rehypothecating, or otherwise leveraging those holdings, firms create additional vulnerabilities tied to management decisions, cybersecurity, and the company’s ability to generate cash flow — risks that do not exist with raw bearer assets.
While Rupena said he does not expect these treasury strategies to be the sole cause of the next crypto bear market, he warned that overleveraged firms could amplify a downturn through forced selling as they move to cover debts. Several market analysts have similarly cautioned that such dynamics could produce contagion across the market.
The trend of companies holding crypto on their books has grown: the article notes there are 178 publicly listed firms with Bitcoin on their balance sheets. At the same time, many companies have begun diversifying beyond Bitcoin into other tokens such as Toncoin, XRP, Dogecoin and Solana, a shift that has produced mixed investor reactions.
Some high-profile examples show the risks of unconventional treasury choices. The beverage company Safety Shot announced BONK as its primary reserve asset in August, prompting a roughly 50% collapse in its share price, and a number of Bitcoin-treasury firms experienced stock declines in the second half of 2025 as the strategy became more crowded and scrutinized. Analysts say these kinds of headline events and overextension raise the prospect of wider market stress if firms are forced to liquidate positions quickly.
