Digital Asset Treasuries (DATs) are experiencing severe financial strain as the cryptocurrency market faces a downturn, leading to collective losses exceeding $25 billion. Companies that previously thrived on passive holding strategies are now struggling as market volatility has resulted in significant unrealized losses, with notable firms like Strategy and BitMine Immersion Technologies reporting losses of $9.2 billion and $8.4 billion, respectively. The decline in market net asset values (mNAV) has compounded these issues, with many DATs trading below an mNAV of 1, indicating that their equities are undervalued compared to their assets. To navigate these challenges, DATs must shift their focus from merely holding digital assets to engaging in revenue-generating activities, ensuring long-term sustainability. The ongoing bear market is expected to weed out weaker players, while those with robust capitalization and effective risk management strategies will likely endure. Historical precedents underscore the necessity for DATs to adapt their business models to survive the current market landscape.