Crypto treasuries have become the talk of this market cycle, with institutions and corporations scooping up digital assets to showcase strength and long-term conviction. But experts warn this could repeat the dotcom bubble of the 2000s, when too much hype and risky bets caused markets to crash nearly 80%.
Ray Youssef, founder of the peer-to-peer platform NoOnes, believes the crypto industry is repeating the mistakes of the dot-com era. Back in the late 1990s, big ideas about the internet attracted money and attention, but many companies lacked real foundations. Most of them eventually collapsed.
Youssef says today’s hype around cryptocurrency, DeFi, and Web3 feels the same. He predicts that many crypto treasury companies will not survive. When they fail, they may sell their holdings, creating a sharp market reset.
The problem, he explains, is that these companies depend too heavily on market sentiment and price momentum. This makes them risky, blending the instability of crypto with the unpredictability of the stock market.
Winners and Losers in the Next Shakeout
But not all will vanish. Youssef believes a handful of disciplined firms could emerge stronger, snapping up discounted Bitcoin and blue-chip digital assets while weaker players collapse. The difference, he says, lies in responsible management.
Companies that avoid piling on risky debt, stagger repayments around Bitcoin’s four-year cycles, and stick to supply-capped assets like Bitcoin and Ethereum have a better chance of surviving downturns.
On the other hand, those betting heavily on volatile altcoins risk being wiped out entirely, as many tokens lose 90% or more during bear markets.
How Real Businesses Back Crypto Success
Perhaps the strongest safety net for these firms is something very traditional: steady revenue. Companies with operating businesses that funnel profits into crypto stand on firmer ground than pure treasury plays that rely solely on speculation.
He says that the industry still has a bright future, but only projects with real fundamentals and long-term value will survive.
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