Bitcoin Treasury Company Nakamoto Takes Action To Prevent Stock Slide

TL;DR

Nakamoto sold 284 Bitcoin to cover operating costs amid a $238 million net loss in Q1. The company is implementing a 1-for-40 reverse stock split to avoid delisting from Nasdaq by June 8.

Key points

Nakamoto sold 284 Bitcoin to cover operating costs
The company reported a net loss of $238 million in Q1
Nakamoto is implementing a 1-for-40 reverse stock split
The reverse split is to avoid delisting from Nasdaq
Nakamoto holds 5,058 Bitcoin, ranking 20th among corporate holders

Mentioned in this story

NakamotoMichael Saylor's companyProCap FinancialGenius Group

Nakamoto sold 284 Bitcoin on the last day of March just to keep the lights on. That detail, buried in the company’s first-quarter financial results, tells the story of where one of the country’s Bitcoin treasury companies now stands.

A Company Running Low On Options?

The Bitcoin accumulation strategy that once drove Nakamoto’s stock above $25 a share has given way to something far less glamorous — selling Bitcoin to cover operating costs. The company reported a net loss of $238 million for the first quarter of the year, with more than $102 million of that tied to a drop in the value of its Bitcoin holdings after the cryptocurrency fell 20% during the quarter. Revenue jumped 500% quarter over quarter, but the losses swamped those gains. Nakamoto holds 5,058 Bitcoin, making it the 20th largest corporate Bitcoin holder in the world, just behind ProCap Financial. Michael Saylor’s Strategy sits at the top of that list with more than 843,000 Bitcoin on its balance sheet — a gap that makes clear how far down the pecking order Nakamoto falls.

Following Stockholder Approval, Nakamoto Announces 1-for-40 Reverse Stock Split to be Effective May 22, 2026

Read the full announcement here:

— Nakamoto (@nakamoto) May 20, 2026

Racing The Clock On Nasdaq

The company is now focused on a more immediate problem: staying listed on the Nasdaq. Last December, Nasdaq sent Nakamoto a warning after its stock price dropped below $1 for 30 straight trading days. The deadline to fix that is June 8, and the fix the company has chosen is a 1-for-40 reverse stock split, set to take effect Friday.

https://www.tradingview.com/x/eXufeI3M/

Bitcoin is now trading at $77,184. Chart: TradingView The move was approved by shareholders at a special meeting earlier this month. Under the plan, every 40 shares get combined into one, shrinking the total share count from 696 million down to 17.4 million. The stock closed at 16 cents Wednesday — down 7.5% for the day and more than 99% below where it traded a year ago. A reverse split does not change a company’s overall market value. It is a designed to push the price per share above a listing threshold.

Q&A

Why did Nakamoto sell 284 Bitcoin in March?

Nakamoto sold 284 Bitcoin to cover operating costs after reporting a significant net loss.

What is the significance of Nakamoto's 1-for-40 reverse stock split?

The reverse stock split aims to increase the stock price above $1 to maintain its Nasdaq listing, following a warning from the exchange.

How does Nakamoto's Bitcoin holding compare to other companies?

Nakamoto holds 5,058 Bitcoin, making it the 20th largest corporate Bitcoin holder, significantly less than leaders like Michael Saylor's company with over 843,000 Bitcoin.