Nakamoto shares plummet 99% after May 2025 IPO

Nakamoto, the Bitcoin treasury company of crypto entrepreneur David Bailey, has gone into freefall on the stock exchange. Since the merger and listing in May 2025, the shares have fallen by approximately 99% from their peak. The company reported a loss of around $372 million for the first half of 2026 and carried out a so-called 1-for-40 reverse share split in May.

In short:

• Last year Nakamoto raised around $760 million to buy Bitcoin, but its shares have since fallen by 99%.
• The company posted a loss of $372 million in the first half of 2026 and carried out a 1-for-40 reverse share split.
• Nakamoto is now looking for acquisitions that generate cash flow and wants to buy back its own shares.

From raising $760 million to a 99% share price decline

David Bailey became known as one of the crypto entrepreneurs who won Donald Trump over to Bitcoin. His hedge fund generated a return of 640% with similar positions. A year ago, he raised approximately $760 million through Nakamoto for a listed vehicle whose goal was to build up as much Bitcoin as possible.

The strategy was based on issuing new shares in order to buy Bitcoin, an approach also used by other so-called Bitcoin treasury companies. That model was partly sustained because investors were willing to pay a premium for exposure to Bitcoin through listed companies. That premium has now disappeared, reports Bloomberg.

Nakamoto seeks a new direction after its share price debacle

Nakamoto’s decline is part of a broader slump among companies that hold digital assets as treasury positions. The Bitcoin price currently stands at $77K, down 0.5% in the past 24 hours. That is putting further pressure on the valuations of such companies.

Nakamoto is now trying to position itself differently. The company is looking for acquisitions that generate direct revenues and is prioritising the buyback of its own shares over further accumulating Bitcoin. Bailey says he still has periodic contact with the White House and is working to show that a viable business lies beneath the share price decline.