Peter Schiff Warns Against Investing in Companies That Simply Hold Bitcoin

Economist and gold advocate Peter Schiff has renewed his criticism of the crypto market, but this time, his focus isn’t just Bitcoin—it’s the growing trend of companies whose business models revolve entirely around holding the digital asset.

Schiff questioned the logic behind buying shares in public firms that don’t build products, provide services, or generate revenue beyond their exposure to Bitcoin. “Why add another layer between yourself and the asset?” he argued, pointing out that these companies essentially serve as Bitcoin wrappers with all the risks of a traditional business—and none of the utility.

The critique comes as more corporations shift their treasury strategies to include massive Bitcoin allocations. Strategy leads the pack, with more than 568,000 BTC on its balance sheet—currently valued at over $120 billion.

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Others, including Tesla, Block, Coinbase, and Japan-based Metaplanet, have followed suit. Some, like CleanSpark and Hut 8, at least tie their holdings to mining operations. But many, Schiff notes, are simply riding Bitcoin’s price wave without offering anything new.

In his view, these stocks amplify volatility. They not only mirror Bitcoin’s price swings but also carry risks like executive decisions, compliance issues, and market pressure—all of which can distort the value investors are actually seeking: Bitcoin exposure.

Schiff’s stance is clear: if you’re bullish on BTC, own it directly. Investing through companies that offer no innovation or operational output beyond holding the asset, he says, is speculation with extra steps—and extra risk.

Alexander Stefanov