How businesses are already leveraging digital assets: Trends, strategies, and Insights

As Bitcoin surpassed US$100,000 in value late in 2024, the appeal of digital assets has grown significantly. 

This milestone has not only captured the attention of individual investors but has also led businesses across various industries to consider how they can integrate digital assets into their financial and operational strategies. 

While digital assets such as cryptocurrencies may seem complicated or risky to some, businesses are already finding practical and effective ways to utilize them for growth, efficiency, and long-term stability.

A common misconception about digital assets is that integrating them into a business model requires the creation of an entirely new company—complete with tokenomics, fundraising, and compliance with cryptocurrency regulations. 

From our experience, this misconception has caused many business owners to shy away from embracing digital assets, Web3, and blockchain technology altogether.

In reality, this is not the case. While building a new cryptocurrency or blockchain-based business model is one approach, many businesses are already using digital assets in straightforward ways to improve existing operations.

In this article, we explore how businesses can leverage digital assets along with some practical use cases and solutions to common concerns.

One of the most well-known examples of a “traditional business” incorporating digital assets into its treasury strategy is MicroStrategy, a business intelligence company that holds substantial amounts of Bitcoin on its balance sheet. The decision to adopt Bitcoin as a treasury asset has helped MicroStrategy diversify its reserves and hedge against inflation.

Many other companies are also following this approach by converting a portion of their cash holdings into Bitcoin or other digital assets. This strategy offers several benefits:

• Diversification: Digital assets can potentially act as a hedge against inflation and traditional market risks.
• Yield Generation: Digital assets, such as Bitcoin, have demonstrated strong growth potential over time and could provide business reserves with additional yield.
• Industry Familiarity: For businesses aiming to understand the broader cryptocurrency and blockchain landscape, holding digital assets offers valuable insight.

In addition to MicroStrategy, companies like Tesla, Square (now Block), and Galaxy Digital have embraced digital assets in similar ways, showcasing that digital assets are not just for early-stage startups but for large, established organizations as well.

The influence of digital asset treasury management on stock prices is becoming increasingly evident.

A prime example is MicroStrategy, whose stock price has surged significantly (as of this writing) since it began accumulating Bitcoin in August 2020, driven largely by bullish sentiment around the cryptocurrency.

More recently, on December 26, 2024, KULR Technology Group Inc. experienced a notable intraday stock price increase of 40.35% following its announcement to acquire an additional 217.18 BTC for its treasury.

While we cannot guarantee an increase in stock price, these examples certainly highlight how corporate strategies involving digital assets can have a direct and immediate effect on market performance.

For businesses that operate internationally, managing cross-border payments can often be a complex and expensive process. 

Traditional payment networks, such as SWIFT, can take 2-3 days to process international transfers, and the associated transaction fees can be significant. These delays and costs can be particularly burdensome for companies with high transaction volumes or international supply chains.

Digital assets, including cryptocurrencies and stablecoins, might offer a more efficient alternative. 

Cryptocurrency transactions can be processed within minutes, significantly improving cash flow and reducing delays. Moreover, the transaction fees for sending digital assets, such as Bitcoin, are often much lower than those of traditional bank transfers, making them a cost-effective option for international transactions.

Addressing Common Concerns with Digital Assets

Despite the clear benefits, several concerns still exist for businesses considering the use of digital assets. 

One of the biggest challenges is the volatility of cryptocurrencies like Bitcoin, whose price fluctuations can make businesses hesitant to adopt them. Another concern is usability—companies may worry about how to integrate crypto payments into their day-to-day operations. 

Additionally, there are concerns about how to track and report cryptocurrency transactions for tax purposes, given the complex nature of digital asset accounting. Finally, the time required for blockchain confirmations can pose delays, especially in fast-paced business environments.

Practical solutions for businesses to use digital assets as transactions

Fortunately, businesses can address these concerns by using established solutions and partnering with the right service providers. 

• Stablecoins (e.g., USDT, USDC) are cryptocurrencies pegged to fiat currencies like the US dollar, offering businesses a way to receive funds without price volatility.
• Asset Accumulation: For companies willing to tolerate some level of price volatility, accepting Bitcoin or other cryptocurrencies can provide an opportunity to accumulate digital assets, diversifying their reserves as discussed in Section 1. 
• On / off ramps and point of sales (POS) systems: 

Berru.co connects businesses with partners who can offer on / off ramps (converting cryptocurrencies to fiat currencies withdrawn from or deposited into a bank account) or even point-of-sale systems that enable real-time cryptocurrency transactions, reducing delays typically associated with blockchain confirmations.

These services ensure that companies can easily access cash when needed, while also simplifying the management of incoming and outgoing crypto payments.

• Accounting & tax filing for digital assets: 

For those concerned about the complexities of tax compliance, specialized firms like Berru.co can provide expertise in cryptocurrency accounting, helping businesses track their digital asset transactions and stay compliant with relevant tax regulations.

By adopting these practical solutions, businesses can leverage the advantages of digital assets while minimizing potential risks and challenges.

To further substantiate (point 2.) the effectiveness of digital assets as a form of payment, an increasing number of investors are injecting capital into businesses using stablecoins, which businesses can then “off ramp” to convert to fiat cash and pay for expenses. 

The benefits to these would again be quicker time to receive capital, lower costs to transfer capital and also better access to investors that are in a different jurisdiction.

Beyond payments, the underlying technology of most digital assets, blockchain, offers numerous advantages for businesses looking to improve operations.

For example, blockchain-based supply chain solutions can provide real-time visibility, reduce fraud, and improve accountability. The ability to track products from origin to sale ensures greater transparency, which is particularly valuable in industries like pharmaceuticals, food, and luxury goods.

While NFTs (Non-Fungible Tokens) are most commonly associated with the digital art world, businesses have also been leveraging NFTs to build loyalty programs, digital collectibles, or even brand engagement initiatives.

The possibilities are numerous and with digital assets growing in prominence, there will definitely be more opportunities to enhance your business using digital assets.

For businesses looking to explore or transition to digital assets, it’s essential to partner with experienced professionals who understand the regulatory and technical challenges.

At Berru.co, we provide comprehensive corporate support, including expertise in compliance, regulatory understanding, and valuable connections to key industry players. We also advise on the best strategies for integrating digital assets into your business model—solutions that have already helped multiple companies successfully implement digital asset initiatives.

With the right expertise, businesses can adopt digital assets smoothly and strategically, ensuring they are well-positioned for the future.

Let Berru.co guide your transition

Disclaimer: The information contained in this article is provided for general informational and educational purposes only and does not constitute legal, regulatory, tax, financial, or professional advice. While Berru.co endeavours to ensure that the information presented is accurate and up to date at the time of publication, laws and regulations — including those applicable in Singapore — may change and may vary depending on jurisdiction and individual circumstances.

Readers should conduct their own independent due diligence and seek appropriate professional advice from qualified advisers before making any business, legal, or financial decisions.