Key Takeaways:
American Bitcoin Corp. will execute a 1-for-15 reverse stock split on July 2, reducing its share count by more than 90% to maintain its Nasdaq listing.
"The reverse stock split is primarily intended to increase the per share price of each class of the company's common stock to maintain compliance with the minimum bid price requirement for maintaining its Nasdaq listing," American Bitcoin said in a July 1 statement.
Every 15 outstanding shares of Class A and Class B common stock will convert into a single share, shrinking the total count from roughly 1.09 billion to about 73 million. The stock will begin trading on a split-adjusted basis under the same ticker, ABTC, when markets open July 6. Shares touched an all-time low of $0.6122 on Wednesday and recently changed hands at $0.636, down 41% over the past month and 86% over the past year, according to Yahoo Finance data.
Reverse stock splits mechanically raise the per-share price without changing a company's market value, but they are often viewed by investors as a signal of financial distress. American Bitcoin, which went public in September 2025 through a merger with Gryphon Digital Mining, holds more than 6,000 Bitcoin on its balance sheet and operates large-scale mining facilities as a majority-owned subsidiary of Hut 8 Corp.
The reverse split was approved by shareholders at the company's annual meeting on June 22, with nearly 93.56% of voting shares represented. The board finalized the 1-for-15 ratio shortly after. Shareholders will not need to take action, and any fractional shares will be cashed out by the transfer agent, Continental Stock Transfer & Trust Co.
American Bitcoin was co-founded by Eric Trump, who serves as chief strategy officer, and is majority-owned by Hut 8 Corp., which holds an 80% stake. The company rebranded from American Data Centers in March 2025 after the Trump family joined forces with Hut 8 to build what it calls "America's Bitcoin infrastructure backbone." President Donald Trump disclosed earlier this week that he earned more than $1.2 billion from crypto-related businesses in 2025 and holds over $50 million in Bitcoin, though he said he does not "get involved" in personal investment decisions.
The broader crypto market has weighed on American Bitcoin's stock. Bitcoin was recently trading near $60,150, down 16% over the past month and more than 50% below its all-time high above $126,000 set in October 2025. The leading cryptocurrency touched a 21-month low under $58,000 overnight before recovering, as soft economic data eased rate-hike fears.
This article is for informational purposes only and does not constitute investment advice.
