Trump Crypto Ally David Bailey's Bitcoin Bet Lost 99% Of Its Stock Value. Now He's Rebuilding The Business.

David Bailey's Nakamoto is shifting away from the financing model that helped turn it into one of the most prominent Bitcoin treasury companies, searching instead for businesses that generate cash after its shares collapsed about 99% from their 2025 peak.

Bailey, a crypto entrepreneur who helped build industry support for President Donald Trump, told Bloomberg that Nakamoto is looking for acquisitions that can improve income and cash flow while supporting its broader Bitcoin strategy. With the stock now trading below the value of the company's Bitcoin holdings, issuing new shares to finance additional cryptocurrency purchases has become far less attractive.

The company was created through the merger of Bailey's Nakamoto Holdings with healthcare company KindlyMD, a transaction initially backed by a $510 million private investment and $200 million in convertible notes.

Nakamoto's finances deteriorated sharply as Bitcoin prices fell and investor enthusiasm for digital-asset treasury companies faded. The company reported a net loss of $371.8 million for the first six months of 2026, according to its latest SEC filing, while second-quarter results showed it held about 4,467 Bitcoin worth roughly $261.5 million at the end of June.