In a notable shift within the institutional crypto landscape, Standard Chartered’s global head of digital assets research, Geoffrey Kendrick, has declared that Ethereum treasury companies are now “very investable”—arguably a better opportunity than U.S. spot Ethereum ETFs. Analysts point to normalized net asset value (NAV) multiples and yield-generating capabilities that ETFs simply cannot match. This marks an important milestone in how market participants view ether exposure.
Introduction
As interest in Ethereum grows, publicly traded companies holding ETH on their balance sheets are gaining traction. These firms—like BitMine Immersion and SharpLink Gaming—are offering investors a hybrid exposure: appreciation in ether’s price plus staking and DeFi returns. Standard Chartered’s recent analysis suggests these treasury companies now offer a clearer path to long-term upside compared to passive spot ETH ETFs.
NAV Multiples Normalizing Reflect Deeper Value
NAV multiples—calculated as company market capitalization divided by the ETH value they hold—initially soared above fair value early in the year. However, Kendrick notes these multiples have now stabilized around 1.0, indicating that the firms trade close to the net asset value of their ETH holdings. He does not perceive a strong reason for these multiples to drop below 1.0 since these companies have some regulatory flexibility and the ability to make yield with staking and decentralized finance. This normalization conveys the right signals to investors, and puts treasury companies in a place of less speculation and more fundamental.
Treasury Firms Matching ETF Demand, But With Extra Yield
Since early June, Ethereum treasury companies and U.S. spot ETH ETFs have each acquired approximately 1.6% of the total ether in circulation, demonstrating similar buying momentum. Yet, unlike spot ETFs—which currently cannot stake ETH or participate in DeFi—treasury firms capitalize on both staking rewards (around 3–4 %) and yield generated through decentralized protocols. This dual-exposure approach offers investors an active component (yield generation) alongside core price exposure.
Who’s Leading the Charge: Key Firms in Focus
Publicly traded BitMine Immersion Technologies brings the most ETH to market with over 625,000 ETH (worth $2–3 billion) and set its goal to achieve 5% of total ETH supply. SharpLink Gaming, which is backed by Consensys and co founder Joseph Lubin, owns more than 438,000 ETH, and, with its recent purchases, brings its NAV multiple back to just above 1.0—making it a benchmark in the sector. Other emerging companies such as The Ether Machine, GameSquare Holdings, and BTCS are also scaling their ETH stockpiles aggressively—reflecting broad institutional interest in ETH.
Weighing the Upside Against the Risks
On the plus side, treasury firms are able to offer ETH price exposure and generate yield through both staking and DeFi activities – which are sacrifices the US spot ETFs do not have to offer. Corporate structures within treasury firms interested in these areas may also be attractive from a regulatory arbitrage standpoint, as they may provide access to regulated vehicles in otherwise uninhibited jurisdictions. At the same time, however, there are inherent risks involved: staking has lock-up periods and exit queues while using DeFi protocols places exposure to unpredictable smart contract risk. Bernstein analysts also said these factors should provide disciplined limits typically only moderate exposure – to an either unlikely or untenable risk for capital allocation purposes.
What Comes Next: Future Catalysts and Outlook
SharpLink Gaming, supported by Consensys and co founder Joseph Lubin, owns over 438,000 ETH, with recent purchases pushing its NAV multiple back to just above 1.0—representing a threshold standard in the sector. Other growing entities such as The Ether Machine, GameSquare Holdings, and BTCS, and materially expanding ETH balances, signal widespread institutional solid interest. As this field matures, fewer new entrants may emerge, but established players are expected to consolidate dominance as institutional investors seek regulated yet productive digital asset exposure.
Conclusion
For investors who want ether appreciation in addition to an ongoing yield, public Ethereum treasury companies now present a unique opportunity. The NAV multiples are almost 1; they generate yield through staking, gain DeFi access, and have a capital structure that provides regulatory efficiencies. These companies are a differentiated option compared to U.S.-listed spot ETH ETFs. Although they still have smart contract and liquidity risks, their position in the crypto ecosystem is now better than ever—becoming an institutional asset class, and marking another phase of institutional crypto adoption.
