American Bitcoin Corp. Stock Down 97%, $600M Stake Loss
American Bitcoin Corp. Stock Falls 97% From Peak – $600 Million Stake Loss for Eric Trump Amid Crypto Downturn
Key Takeaways
- American Bitcoin Corp. shares have dropped 97% from a September 2025 peak of $217 to a record low of $5.98.
- Eric Trump, who owns about 6% of the company, has seen his stake reduced in value by roughly $600 million.
- The company carried out a 1-for-5 reverse stock split on July 2 to maintain its Nasdaq listing.
- Despite the stock decline, American Bitcoin Corp. increased its Bitcoin holdings from 7,500 BTC to 8,000 BTC.
- Public company Bitcoin holdings fell from 1.267 million BTC to 1.265 million BTC after Strategy sold $216 million worth of BTC.
American Bitcoin Corp. Shares Hit Record Low
American Bitcoin Corp., a Bitcoin mining and treasury firm, has experienced a sharp and prolonged decline in its share price. The stock, trading under the ticker ABTC, has fallen by 97% from its September 2025 high of $217 to a record low of $5.98. In the most recent week alone, the shares declined by more than 29%.
According to a Bloomberg report cited by AMBCrypto, the drop in valuation has reduced the value of Eric Trump’s stake in the company by approximately $600 million. He owns around 6% of American Bitcoin Corp. and serves as the company’s Chief Strategy Officer. His brother, Donald Trump Jr., also holds an undisclosed stake in the firm.
The decline in ABTC’s share price has occurred amid a broader downturn in the cryptocurrency market, which has affected both digital asset prices and publicly traded crypto-related companies.
Reverse Stock Split to Maintain Nasdaq Listing
The sustained sell-off forced American Bitcoin Corp. to take measures to remain compliant with Nasdaq listing requirements. On July 2, the company implemented a 1-for-5 reverse stock split.
Nasdaq rules require listed companies to maintain a minimum bid price of $1 per share. Reverse stock splits are commonly used by companies whose shares approach that threshold, as the measure consolidates shares to increase the per-share price without changing the overall market capitalization at the time of the split.
American Bitcoin Corp. is not alone in taking such action. According to the report, Nakamoto, another Bitcoin treasury firm, also opted for a stock split to avoid potential delisting. These developments highlight the pressure facing publicly traded companies whose valuations are closely tied to cryptocurrency market performance.
Company Expands Bitcoin Treasury to 8,000 BTC
Despite the share price collapse, American Bitcoin Corp. has continued to increase its Bitcoin holdings. The company expanded its treasury from 7,500 BTC to 8,000 BTC during the recent downturn.
Eric Trump addressed the stock decline by describing it as crypto market volatility. He reiterated the firm’s strategy of accumulating Bitcoin, stating that the company continues to differentiate itself by mining at a 52% profit margin in the first quarter and maintaining what he described as one of the lowest SG&A ratios in the industry.
He also emphasized that the company is continuing to add to its Bitcoin treasury, framing the approach as ongoing accumulation at lower market prices.
For market participants, treasury size is a key metric when assessing publicly listed Bitcoin-focused firms. An increase in holdings can signal long-term positioning, even when share prices fluctuate significantly.
Corporate Bitcoin Demand Eases After Strategy Sale
The broader corporate demand for Bitcoin has also shifted in recent weeks. Strategy, identified as the largest corporate buyer of Bitcoin, sold $216 million worth of BTC.
Following that transaction, the total Bitcoin held by public companies declined from 1.267 million BTC to 1.265 million BTC. Over the last 30 days of trading, demand from corporate treasuries has been described as negligible at 0.3%.
The market response to Strategy’s sale was limited, according to the report. However, the reduction in aggregate public company holdings marks a pause in the steady accumulation trend that has characterized previous periods.
For investors and crypto market observers, shifts in corporate treasury activity are closely watched. Public disclosures of purchases or sales can influence sentiment and provide insight into institutional positioning during volatile market phases.
Our Assessment
American Bitcoin Corp. has seen its share price decline by 97% from its 2025 peak, reducing the value of Eric Trump’s 6% stake by approximately $600 million. The company responded to the falling share price with a 1-for-5 reverse stock split to maintain compliance with Nasdaq listing requirements. At the same time, it increased its Bitcoin treasury to 8,000 BTC. On a broader level, corporate Bitcoin holdings have edged lower after Strategy sold $216 million in BTC, bringing total public company holdings down from 1.267 million to 1.265 million BTC. These developments reflect both company-specific valuation pressure and a slowdown in corporate Bitcoin accumulation during the current market downturn.
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