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
Fold may use a reverse stock split to fix its Nasdaq share-price issue without raising cash or selling Bitcoin, but that would not solve funding needs. As of June 30, Fold held 194 BTC in its investment treasury and 77 BTC in a separate rewards treasury tied to customer liabilities. It sold 832 BTC in the first half of 2026, including 200 BTC in February and 632 BTC in June, using part of the proceeds to repay a Bitcoin-backed credit facility and keeping the rest as cash. Fold reported a $15.6 million operating loss for the first six months of 2026 and had $28.4 million in cash and equivalents at June 30, plus $7.5 million raised from stock sales. Nasdaq warned on July 14 that the stock had traded below $1 for 30 straight business days, giving Fold until Jan. 11, 2027 to regain compliance. Fold is seeking approval for a 1-for-2 to 1-for-50 reverse split. If Nasdaq ultimately delists the stock, a $13 million investor note could default.
