Overview

• NYDIG’s Greg Cipolaro called for removing the widely used mNAV metric from industry reporting, describing it as misleading.
• mNAV is commonly calculated as a company’s market capitalization divided by the value of its crypto holdings.
• The firm warned that mNAV often relies on assumed share counts that include unconverted convertible debt, which may require cash repayment.
• NYDIG characterized convertible debt as “volatility harvesting,” arguing it can incentivize companies to maximize equity volatility.
• The critique followed Strive Asset Management’s all-stock acquisition of Semler Scientific, the first merger of two bitcoin treasuries, creating a combined holder of more than 10,900 BTC.