Related stocks fall more sharply amid weakness in virtual assets… Circle, Coinbase and DAT firms also slump

As the virtual asset (cryptocurrency) market entered a weak trend, major related stocks such as exchanges, issuers, and digital asset treasury (DAT) companies have fallen more sharply than coin prices.

On the 15th, according to Investing.com, over the past month Circle's stock fell by more than 40%, and Coinbase fell by nearly 20%. Strategy (formerly MicroStrategy), which strategically accumulates Bitcoin and Ethereum, and Bitmain also declined by at least 33% and 35%, respectively. During the same period, Bitcoin fell 12% and Ethereum fell 21%.

In particular, Circle's stock underperformed despite third-quarter results greatly exceeding market expectations, as the revenue-sharing structure with partners expanded cost burdens. Third-quarter total revenue was $740 million and net income was $210 million, but payments to partners amounted to $448 million.

Coinbase also showed strong third-quarter revenue of $1.87 billion, but it underwent a correction as the earlier sharp stock price rise and concerns about reduced liquidity interacted. The share of stablecoins in subscription and service revenue expanded to 47.5%.

Strategy and Bitmain, which adopted the DAT structure, experienced greater volatility during market adjustments. The two companies judged the recent declines as buying opportunities and proceeded to purchase additional Bitcoin and Ethereum. Strategy bought 487 BTC (about $49.9 million) this month, and Bitmain bought 110,288 ETH (about $400 million) in the past week.