Buying shares in a Bitcoin treasury company is not the same as buying Bitcoin.
One of the simplest ways investors measure the difference is mNAV, a valuation multiple comparing a company's market value with the value of the Bitcoin it holds.
In basic terms, an mNAV of 1.0x means the company is valued roughly in line with its Bitcoin treasury. An mNAV of 1.5x means investors are effectively assigning $1.50 of company value for every $1 of Bitcoin, while 0.8x indicates a discount.
The concept has become increasingly important as public companies accumulate larger BTC reserves. Coinpaper's ranking of Bitcoin treasury companies shows how Strategy, Metaplanet and other listed firms have turned corporate balance sheets into another route for gaining Bitcoin exposure.
How Is mNAV Calculated?
There is an important complication: mNAV does not have one universally accepted formula.
A simple version divides equity market capitalization by the market value of Bitcoin held:
mNAV = Company market value ÷ Bitcoin holdings value
A more complete enterprise-value version adds debt and preferred stock and subtracts cash before comparing the company with its BTC holdings.
BitcoinTreasuries.net currently uses enterprise-value mNAV for dedicated Bitcoin treasury companies:
(Market cap + debt + preferred stock − cash) ÷ Bitcoin NAV.
Strategy uses its own per-share methodology. The company defines mNAV as the MSTR share price divided by its Net Bitcoin Per Share, which adjusts Bitcoin backing for senior claims and U.S. dollar assets. Strategy also cautions that its mNAV is not traditional accounting NAV.
Why Would Anyone Pay More Than 1.0x?
A premium can exist because investors are buying more than today's Bitcoin balance.
A treasury company trading above NAV can potentially issue new shares at that premium and use the proceeds to buy additional Bitcoin. If executed efficiently, that can increase the amount of Bitcoin backing each existing share.
That capital-raising mechanism helped define Strategy's model. Coinpaper has documented how the company has repeatedly used equity issuance to fund BTC purchases.
As of Sept. 7, Strategy held approximately 845,050 BTC, acquired for $63.73 billion at an average price of $75,412, according to its latest SEC filing.
Its mNAV recently stood around 1.14x, implying a modest premium to Bitcoin NAV, though the exact figure changes continuously with both MSTR and Bitcoin prices.
Why Discounts Can Be Dangerous or Attractive
An mNAV below 1.0x does not automatically mean a stock is cheap.
The market may be discounting debt, preferred-stock obligations, dilution risk, weak management or the possibility that the company will eventually sell Bitcoin.
Metaplanet, for example, recently traded around 0.97x mNAV, meaning its valuation was approximately in line with or slightly below the value of its Bitcoin treasury.
The collapse of treasury-stock premiums has already hurt investors. Coinpaper previously examined how Bitcoin treasury premiums can disappear when capital markets become less supportive.
Strategy has also expanded its financial toolkit beyond straightforward Bitcoin purchases, including debt, preferred securities and even potential BTC sales to support liquidity. That changing structure is covered in Coinpaper's analysis of its evolving Bitcoin strategy.
