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Crypto treasury companies are starting to see share price gains off the back of stock buyback programs, which analysts say could be a sign that the companies are now battling for credibility.&nbsp;
Trump Jr.-linked media company Thumzup, which holds Bitcoin (<a href="/bitcoin-price" rel="noopener noreferrer">BTC</a>) and Dogecoin (<a href="/doge-price-index" rel="noopener noreferrer">DOGE</a>), <a href="https://www.prnewswire.com/news-releases/thumzup-announces-10-million-share-repurchase-program-302565416.html" rel="noopener noreferrer nofollow" target="_blank">said</a> on Wednesday it was increasing a share buyback from $1 million to $10 million, which <a href="https://www.google.com/finance/quote/TZUP:NASDAQ?sa=X&amp;sqi=2&amp;ved=2ahUKEwib-YP79PKPAxUtUGcHHfzSIykQ3ecFegQIMRAT" rel="noopener noreferrer nofollow" target="_blank">sent</a> its stock (TZUP) up 7% for the session and another 0.82% after hours to trade $4.91.
At the same time, Solana treasury company DeFi Development Corp (DFDV) <a href="https://x.com/defidevcorp/status/1970837949010083958" rel="noopener noreferrer nofollow" target="_blank">expanded</a> its share repurchase from $1 million to $100 million, which saw its stock <a href="https://www.google.com/finance/quote/DFDV:NASDAQ?sa=X&amp;sqi=2&amp;ved=2ahUKEwjU1e2I9fKPAxWSSmwGHamwEWUQ3ecFegQIPxAT" rel="noopener noreferrer nofollow" target="_blank">registered</a> gains of over 5%, before settling at a more than 2% gain and another 1% after hours to trade at $15.50.
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 <img src="https://s3.cointelegraph.com/uploads/2025-09/01997efb-bc43-7932-a272-c5dbb440d7b6" title="" alt="Crypto treasury share buybacks could signal a ‘credibility race’ is on">
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 DeFi Development Corp experienced an 8% rise after expanding its share repurchase from $1 million to $100 million. Source: <a href="https://www.google.com/finance/quote/DFDV:NASDAQ?sa=X&amp;sqi=2&amp;ved=2ahUKEwjU1e2I9fKPAxWSSmwGHamwEWUQ3ecFegQIPxAT" rel="noopener noreferrer nofollow" target="https://www.google.com/finance/quote/DFDV:NASDAQ?sa=X&amp;sqi=2&amp;ved=2ahUKEwjU1e2I9fKPAxWSSmwGHamwEWUQ3ecFegQIPxAT">Google Finance&nbsp;</a>
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The gains come after Coinbase's head of research, David Duong, and researcher Colin Basco predicted <a href="https://cointelegraph.com/news/crypto-treasuries-easy-money-ends-competition-boost-markets-coinbase" rel="noopener noreferrer nofollow">in a Sept. 10 report</a> that crypto-buying public companies are entering a “player vs player” era to compete harder for investor money.
<h2 id="treasury-race-becoming-about-credibility">Treasury race becoming about credibility&nbsp;</h2>
Speaking to Cointelegraph, Ryan McMillin, chief investment officer of Australian crypto investment manager Merkle Tree Capital, said the stock buybacks are a sign the crypto treasury race is starting to become a “credibility race.”
“It’s no longer enough to say ‘we hold Bitcoin.’ Investors want professional capital allocation — buybacks, dividends, clear treasury strategies,” he said.
<blockquote>
 “The fusion of corporate finance tools with the digital-asset narrative is powerful. It signals these companies want to be judged not just on Bitcoin exposure, but on shareholder returns.”
</blockquote>
<h2 id="buybacks-also-a-sign-of-confidence">Buybacks also a sign of confidence</h2>
Not all crypto treasury companies with buyback promises have benefited, though. TON Strategy Company, previously known as Verb Technology Company, made <a href="https://cointelegraph.com/news/ton-strategy-stock-buybacks-share-falls" rel="noopener noreferrer nofollow">a similar move on Sept. 12</a>, but its stock (TONX) didn’t react positively and<a href="https://www.google.com/finance/quote/TONX:NASDAQ" rel="noopener noreferrer nofollow" target="_blank"> declined</a> 7.5%.
McMillin said share buybacks represent a “classic signal of confidence,” when a company thinks its stock is undervalued, which matters for listed <a href="https://cointelegraph.com/explained/ether-vs-bitcoin-treasuries-which-strategy-is-winning" rel="noopener noreferrer nofollow" target="_self">crypto-treasury companies </a>because “their valuations often swing at a premium or discount to their Bitcoin holdings (mNAV).”
“A buyback can tighten that gap by reducing float and showing discipline — which investors reward. The price can also move as traders look to front-run a decent volume of demand. Buying more Bitcoin increases exposure to volatility,” he said.
<blockquote>
 “A buyback, on the other hand, boosts shareholder value directly, while still leaving the crypto treasury story intact. It also appeals to a broader investor base — some want the Bitcoin narrative, others want capital discipline. A well-timed buyback balances both.”
</blockquote>
<h2 id="crypto-treasury-race-about-dollar-vs-bitcoin">Crypto treasury race about dollar vs Bitcoin&nbsp;</h2>
Meanwhile, Kadan Stadelmann, chief technology officer of the blockchain-based Komodo Platform, told Cointelegraph that when a company uses cash reserves to buy back shares, there are fewer available for the general public, which leads to scarcity and upward pressure on the price.
Related: <a href="https://cointelegraph.com/news/strive-semler-bitcoin-treasury-merger" rel="noopener noreferrer nofollow">Ramaswamy-backed Strive buys Semler Scientific in Bitcoin treasury merger</a>
“The crypto treasury companies are competing to see which can create the most enticing crypto treasury structure, but what we are seeing is hyperbitcoinization, which is a form of de-dollarization—Bitcoin versus the dollar,” he said.
<h2 id="crypto-asset-treasuries-not-going-away-anytime-soon">Crypto asset treasuries not going away anytime soon&nbsp;</h2>
Bitbo is <a href="https://bitbo.io/treasuries/" rel="noopener noreferrer nofollow" target="_blank">tracking</a> companies that have added Bitcoin to their balance sheets, which hold over 1.4 million coins, representing about 6.6% of the total supply.
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 <img src="https://s3.cointelegraph.com/uploads/2025-09/01997efb-c438-7872-99cc-abe7e245ed9a" title="" alt="Crypto treasury share buybacks could signal a ‘credibility race’ is on">
 <figcaption style="text-align: center;">
 Companies holding Bitcoin have over 1.4 million coins. Source: <a href="https://bitbo.io/treasuries/#public" rel="noopener noreferrer nofollow" target="https://bitbo.io/treasuries/#public">Bitbo&nbsp;</a>
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<a href="https://cointelegraph.com/learn/articles/who-is-michael-saylor" rel="noopener noreferrer nofollow" target="_self">Michael Saylor’s company, Strategy</a>, is the frontrunner with 638,985 Bitcoin and continues to make regular purchases. Some analysts have said the <a href="https://cointelegraph.com/explained/the-bitcoin-treasury-model-is-breaking-but-strategys-isnt-heres-why" rel="noopener noreferrer nofollow">crypto-buying companies market is oversaturated</a> and not all will survive long-term.&nbsp;
Stadelmann said he doesn’t think “The phenomenon of crypto asset treasuries” will slow anytime soon, though, because an “increasing number of companies will allocate part of their treasuries into Bitcoin and other crypto assets, including Fortune 500 companies.”
<blockquote>
 “A big question for investors is which companies are most likely to hold onto their Bitcoin through thick and thin, rather than sell amid bear markets or panics.”
</blockquote>
Magazine: <a href="https://cointelegraph.com/magazine/how-do-the-worlds-major-religions-view-bitcoin-and-cryptocurrency/" rel="noopener noreferrer nofollow">How do the world’s major religions view Bitcoin and cryptocurrency?</a>

Crypto treasury share buybacks could signal a ‘credibility race’ is on

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