American Bitcoin does 1-for-15 split as BTC holdings reach 8,000

American Bitcoin is adding to its Bitcoin treasury, but its stock still needed a reverse split to stay listed on Nasdaq. The company said it now holds 8,000 BTC, up from about 7,021 BTC on March 31. Its 1-for-15 reverse split took effect after the market closed on July 2, with split-adjusted trading starting July 6.

The move was meant to lift the Class A share price enough to meet Nasdaq's minimum bid requirement. A reverse split changes the number of shares and the price per share, but not the company's market value at the time of the change. American Bitcoin had previously told shareholders the board could choose a ratio between 1-for-5 and 1-for-40, then settled on 1-for-15.

First-quarter results show why the larger BTC pile has not settled investor concerns. The company reported about $62.1 million in mining revenue, an $81.8 million net loss, negative adjusted EBITDA of about $91.3 million, and a $117.2 million loss on digital assets. It mined about 817 BTC in the quarter and bought another 803 BTC.

The company also warned that the split may not lift the stock in proportion to the reduced share count, may hurt liquidity, and could leave odd-lot holders facing higher trading costs. Its authorized share count stays unchanged, leaving room for future issuance that could dilute existing shareholders.