TLDR
- American Bitcoin will implement a 1-for-15 reverse stock split.
- ABTC stock fell more than 8% and hit a record low before the split.
- The split would reduce shares from about 1.09 billion to 73 million.
- Bitcoin USA has 7,500 BTC on its balance sheet.
- The company aims to restore compliance with minimum bids on the Nasdaq Stock Exchange.
Shares of US company Bitcoin Corp fell more than 8% after the bitcoin mining and treasury company announced a 1-for-15 reverse stock split to restore compliance with Nasdaq listing rules.
The reverse split will take effect after the market closes on July 2, the company, which was co-founded by Eric Trump and majority owned by Hut 8, said. The shares are expected to begin trading on a split-adjusted basis on July 6 under the same ticker ABTC.
ABTC closed at $0.6241, down 8.37%, after touching a record low near $0.6122. The stock is down more than 64% this year and has fallen sharply over the past 12 months as bitcoin and crypto-related stocks remain under pressure.
US Bitcoin is planning a 1-for-15 reverse split
American Bitcoin He said Every 15 shares of Class A and Class B common stock will be converted into one share. The move will reduce outstanding shares from about 1.09 billion to about 73 million.
The company said shareholders do not need to take any action. Any fractional shares created by the reverse split will be cashed out.
The reverse split was approved by shareholders at the annual meeting held on June 22. The Board of Directors later finalized the ratio at 1 to 15.
The company said the main goal is to raise the stock price and support compliance with the minimum offer price requirements of the Nasdaq Capital Market. Nasdaq rules require listed companies to maintain a minimum stock price.
ABTC falls to new low before split
US Bitcoin stocks fell despite planned fork. The stock was trading at less than $1, putting the focus on the company’s Nasdaq listing status.
Reverse stock splits do not change the overall market value of the company by themselves. They automatically reduce the number of shares and raise the price per share.
Investors often view reverse splits with caution because they can follow long declines in stock prices. In the case of US Bitcoin, the move comes after a sharp decline in both ABTC shares and bitcoin-related stocks.
The company went public through a merger last September as Hut 8 expanded its Bitcoin infrastructure strategy. American Bitcoin operates mining operations and also holds Bitcoin on its balance sheet.
Bitcoin decline puts pressure on treasury stocks
American Bitcoin Stock decline follows weakness in Bitcoin. BTC recently traded near $60,150 after falling below $58,000 overnight, its lowest level in 21 months.
Bitcoin is still down more than 50% from its record high above $126,000 last October and has lost about 30% of its value this year.
This decline has affected Bitcoin treasury companies because their valuations are closely tied to Bitcoin prices. The US Bitcoin company posted a loss of $81.8 million in the first quarter, driven mostly by unrealized losses on its Bitcoin holdings.
Other Bitcoin treasury companies have also used reverse forks. In May, Nakamoto announced a 1-for-40 reverse split after NAKA shares traded below Nasdaq’s $1 minimum bid requirement for several months.
US Bitcoin holds 7,500 BTC
The US Bitcoin company mined a record 817 BTC in the first quarter and acquired another 803 BTC for its treasury. The company ended March with 7,021 BTC on its balance sheet.
Its holdings have since increased to 7,500 BTC, making it the 16th-largest publicly traded BTC holder, according to BitcoinTreasuries data cited in the reports.
The company’s Bitcoin holdings remain core to its business model. However, the decline in Bitcoin prices has increased pressure on the value of its treasury and investor confidence in cryptocurrency-related stocks.
President Donald Trump’s broader business ties in cryptocurrencies have also drawn attention to companies linked to his family. Trump recently revealed more than… $1.2 billion in cryptocurrencies– Related business income for 2025 He said that advisors handle personal investment decisions.
The US Bitcoin company’s next focus will be whether the reverse fork will help it regain compliance with the Nasdaq and whether the price of Bitcoin stabilizes enough to ease pressure on its mining and treasury strategy.
