Bitcoin treasury firm Nakamoto is pursuing a reverse stock split to maintain its Nasdaq listing after its stock price collapsed by 99 percent from its May 2025 peak. The move is a bid to consolidate shares and boost the per-share price above the exchange's minimum requirement.
"This action is a necessary step to regain compliance with Nasdaq's listing standards and provide the company with a stronger foundation for the future," a company spokesperson said in a statement. The firm has not yet disclosed the specific ratio for the reverse split.
The company's shares have been under severe pressure, falling from a high in May 2025 to their current level amid a challenging market for crypto-related equities. This decline put the stock at risk of being delisted from the Nasdaq, which requires a minimum bid price of $1.00 per share.
While the reverse split will mechanically increase the stock price, it does not change the company's underlying fundamentals. Such moves are often seen by investors as a sign of financial distress, signaling that the company is focused on meeting exchange rules rather than on fundamental business growth. The key challenge for Nakamoto will be to demonstrate a path to profitability and restore investor confidence beyond the cosmetic effect of the split.
This article is for informational purposes only and does not constitute investment advice.
