Key Takeaways:
Shares of Bitcoin treasury company Nakamoto Inc. (NAKA) fell 7.16% on Monday to close at $0.21 after the firm disclosed it sold approximately 284 Bitcoin for $20 million in March.
"We remain committed to Bitcoin as a long-term strategic asset and are focused on growing our treasury in a disciplined and capital-efficient manner," CEO David Bailey said in a statement regarding the company's strategy.
The sale, revealed in the company's 10-K filing, implies an average exit price of roughly $70,422 per coin. Nakamoto stated the proceeds are intended to create a US dollar operating reserve to fund strategic projects and day-to-day expenses. The move follows a difficult year for the company, which reported a $166.2 million loss for the year ended December 31, 2025, from changes in the fair value of its digital assets. The firm's weighted average purchase price for its Bitcoin was $118,171, far above the year-end value of $87,519.
The stock is down approximately 40% year-to-date, reflecting both the company's performance and broader pressures on smaller Bitcoin treasury firms. The market has seen increasing concentration, with data from CryptoQuant showing that competitor Strategy now accounts for roughly 76% of all Bitcoin held by such publicly traded companies.
Nakamoto's decision to liquidate a portion of its holdings highlights the financial strain on companies that have adopted a Bitcoin treasury strategy. While the company held 5,342 BTC at the end of 2025, valued then at roughly $467.5 million, the subsequent decline in Bitcoin's price from its purchase levels has created significant paper losses.
The sale to build a dollar reserve suggests a move to de-risk and ensure operational liquidity, even as the CEO reaffirms a long-term commitment to the asset. This contrasts with the more aggressive accumulation strategy of market leader Strategy, which purchased about 45,000 BTC in the past 30 days, while all other treasury firms combined added just 1,000 BTC, according to CryptoQuant data. After Monday's session, NAKA shares recovered about 5.6% in after-hours trading.
This article is for informational purposes only and does not constitute investment advice.
