AlphaTON, a Nasdaq-listed company, has purchased $30 million worth of Toncoin (TON), marking a significant pivot into digital asset management. The acquisition comes despite a notable decline in the token's price and a drop in the company's own share value, highlighting a growing but challenging trend of public companies adding cryptocurrencies to their balance sheets.
This move establishes AlphaTON as the second publicly traded firm to focus its treasury strategy on The Open Network's native token, following a similar path as TON Strategy Co. The company has also announced ambitious plans to increase its Toncoin holdings to $100 million by the end of 2025.
Key Takeaways
- AlphaTON, formerly Portage Biotech, has acquired $30 million in Toncoin (TON) for its corporate treasury.
- The company aims to expand its TON holdings to $100 million by the end of 2025.
- This follows a similar move by TON Strategy Co., another public company that has accumulated over 217 million TON tokens.
- Both companies have seen their stock prices decline significantly following their pivot to a Toncoin-focused strategy.
- The investment occurs as Toncoin's price has fallen approximately 13% in the last month and 50% year-to-date.
AlphaTON's Strategic Shift to Digital Assets
AlphaTON confirmed its $30 million Toncoin purchase in a recent announcement, signaling a major change in its business focus. The company, which previously operated as Portage Biotech, is transitioning from immune oncology research to becoming a digital asset treasury (DAT). According to a September filing with the U.S. Securities and Exchange Commission, this new crypto-centric model will become one of its "primary lines of business."
The strategic direction is being influenced by Brittany Kaiser, a former board member of the Bitcoin mining company Gryphon Digital. Under this new strategy, AlphaTON is not just holding the asset but also plans to invest in The Open Network's ecosystem to support its growth.
Despite the forward-looking strategy, the market's initial reaction has been cautious. Following the announcement, AlphaTON's shares experienced a decline of approximately 9.6% within 24 hours, according to data from Yahoo Finance.
From Biotech to Blockchain
AlphaTON's transformation from Portage Biotech, a company focused on cancer treatments since 2019, to a digital asset treasury is a stark example of corporate pivoting. This shift reflects a broader, albeit risky, trend where public companies seek to generate value by holding and managing volatile cryptocurrencies instead of pursuing their original business models.
A New Trend with Volatile Outcomes
The move by AlphaTON makes it the second Nasdaq-listed company to adopt a Toncoin-centric treasury strategy. The first was TON Strategy Co., which rebranded from Verb Technology Company in August. This company began its accumulation with a large purchase and now holds an estimated 217.5 million TON tokens.
However, the performance of these early adopters highlights the inherent risks. TON Strategy Co.'s stock has struggled since its pivot, falling over 65% in the past month alone. Both companies are following a playbook popularized by MicroStrategy, which began accumulating Bitcoin in 2020 under the leadership of Michael Saylor.
While both AlphaTON and TON Strategy Co. focus on holding Toncoin, their approaches differ slightly. TON Strategy Co. emphasizes a long-term, no-leverage holding model. In contrast, AlphaTON has stated its intention to actively invest in the TON ecosystem, suggesting a more hands-on approach to its treasury management.
Toncoin's Price Struggles Despite Ecosystem Growth
The Open Network (TON) was initially developed by the messaging platform Telegram in 2018. It is now managed independently by the TON Foundation, which fosters ecosystem development without controlling the open-source technology.
The network received a significant endorsement on January 21, when Telegram announced it would make TON the exclusive blockchain infrastructure for its expansive Mini App ecosystem. This partnership was expected to drive significant user activity and adoption.
Toncoin Market Performance
- Past Month: Down approximately 13%
- Year-to-Date: Down approximately 50%
- Past Six Months: Retraced over 25%
Data based on TradingView at the time of original reporting.
Furthermore, The Open Network attracted substantial investor interest, securing over $400 million in investments from various venture capital firms in March. Despite this backing and growing network activity, the price of Toncoin has failed to gain upward momentum. At the time of writing, TON was trading around $2.75, showing a significant decline from its previous highs.
Broader Market Risks for Crypto Treasuries
The strategy of public companies holding digital assets on their balance sheets has expanded beyond Bitcoin and Ethereum in 2025. A growing number of firms are now allocating reserves to alternative cryptocurrencies, including Dogecoin (DOGE), Solana (SOL), and Avalanche (AVAX).
This diversification introduces new opportunities but also magnifies risk. The volatility of these assets can have a profound impact on a company's stock value and financial stability. Recently, financial services firm Standard Chartered issued a warning about the declining market net asset values (mNAVs) of many digital asset treasuries.
The report from Standard Chartered highlighted that plunging asset values are leaving smaller companies that have adopted this model in an increasingly vulnerable financial position.
As more companies explore this path, the performance of early movers like AlphaTON and TON Strategy Co. will be closely watched by investors. Their ability to navigate the extreme volatility of the crypto markets will serve as a critical test for the viability of the digital asset treasury model, particularly for those focused on assets other than Bitcoin.
