After selling 832 BTC to clear debt, this Nasdaq-listed crypto firm is using a 1-for-50 reverse split to mask its shrinking treasury

Bitcoin financial services firm Fold could address its Nasdaq share-price problem through a potential reverse split, but the company’s shrinking Bitcoin reserve raises a separate question about how it will fund operations.

The company’s Aug. 11 quarterly filing reported that, as of June 30, Fold held 194 $BTC worth $11.4 million in its investment treasury after selling 832 $BTC during the six months ended June 30.

On that same date, it held another 77 $BTC worth $4.5 million in a rewards treasury, but that balance was matched to a Bitcoin-denominated customer rewards liability. The combined total was 271 $BTC, though the two buckets were not economically interchangeable.

A reverse stock split could lift Fold’s nominal share price without raising cash, issuing new shares, or consuming Bitcoin. That could help the company regain Nasdaq compliance, but it would not pay operating expenses. Fold reported a $15.6 million operating loss for the first six months of 2026, making dilution and further use of the investment treasury possible financing risks, not necessary outcomes.

Debt cleanup left a smaller treasury

Fold sold 200 $BTC for $14.4 million in February and 632 $BTC for $44.7 million in June. It used $20 million of the June proceeds to repay its Bitcoin-backed credit facility and retained the remaining $24.7 million as cash.