September saw a notable rise in digital asset treasuries (DATs), which now hold approximately $135 billion in assets, as reported by VanEck on Friday.

Notably, the Strategy alone contributes to over half of this value. Last week, the worth of its Bitcoin treasury reached a record high, even as BTC lagged behind in setting new all-time records.

Michael Saylor’s firm currently possesses 640,031 BTC, valued at around $79 billion based on current market evaluations. This amount exceeds the market capitalizations of major companies such as Motorola, Airbnb, BNY Mellon, and US Bancorp.

The DAT Model is Effective for Now

DATs utilize their stock volatility to generate capital by trading securities below their implied volatility. This strategy appeals to sophisticated traders who acquire these “affordable” instruments and hedge with “costly” options, gaining as volatility normalizes.

VanEck highlighted that many newly established DATs do not have extensive and liquid markets for options trading. For instance, Bitmine Immersion Technologies recently sold a package at a significant discount despite its trading volume being double that of many other DATs.

“Always good nuggets in our crypto monthly” — VanEck (@vaneck_us) (October 3, 2025)

However, using the DAT model comes with serious risk factors. Bitcoin volatility has been on a downward trend for almost a decade due to increased adoption. Since DATs rely on sustained volatility to make purchases, this trend poses a significant threat to their operational model.

Additional Considerations

The DAT sector has surged from around 70 companies in September 2024 to over 200 by September 2025, with over 190 focusing on Bitcoin and between 10 to 20 on Ether or alternative coins, as reported by the Digital Assets Council this past Friday.

Moreover, both public and private corporate Bitcoin treasuries have accumulated a total of 1.32 million BTC, making up about 6.6% of the circulating supply, worth around $164 billion.

In addition, Ether treasuries have noticeably increased, amassing 5.5 million ETH, approximately 4.5% of the total supply worth $24.8 billion in just a few months.

As VanEck warns:

“This dynamic could reduce implied volatility across the sector and eventually deplete the ‘volatility well’, constraining the capacity of DATs to acquire assets.”

These developments illuminate the expansion of DATs while emphasizing the associated leverage and market risks.