American Bitcoin, a bitcoin mining company with connections to former President Donald Trump’s family, has announced a significant 1:15 reverse stock split that aims to boost its share price. The split will be implemented after the market closes on July 2, with trading of the adjusted shares resuming on July 6 under the same ticker symbol, ABTC.
The announcement comes as American Bitcoin’s stock has seen a significant drop in value, closing at an all-time low of $0.62, representing an 8.4% decrease in value. This decline marks a staggering year-to-date drop of over 64% and a precipitous decline of more than 92% since the company’s listing in September 2025.
Experts suggest that the reverse split is primarily a measure to meet Nasdaq’s minimum bid requirement of $1, which states that a stock must maintain this value for 30 consecutive trading days to avoid delisting. American Bitcoin’s share price has remained below this threshold for a considerable time, prompting action.
The reverse stock split will reduce the number of outstanding shares from more than 1.09 billion to approximately 73 million. This move received shareholder approval during the annual meeting held on June 22. However, a reverse split typically signals to investors that a company is struggling to maintain its stock price, often indicative of deeper systemic issues.
In the broader context of the market, American Bitcoin is not alone in facing such pressures. The broader cryptocurrency market has witnessed a sharp decline, with Bitcoin itself down nearly 30% since the start of the year and over 50% from its all-time high of $126,000 recorded in October 2025. This downturn has severely compressed margins for mining companies and diminished confidence in firms with substantial cryptocurrency holdings.
Other companies in the sector have also resorted to similar measures to bolster their stock prices; for instance, Nakamoto executed a 1:40 reverse split in May 2026 after its shares plummeted to $0.14.
In a contrasting narrative, former President Trump revealed that he earned over $1.4 billion from his cryptocurrency activities in 2025 and holds a substantial portfolio with over $50 million in Bitcoin. While facing criticism regarding his investments, Trump stated that he delegates personal investment decisions to advisors.
Despite the challenges it faces, American Bitcoin continues to build its reserves, holding about 7,500 BTC, placing it as the 16th largest public holder of Bitcoin. However, it recently reported an Q1 loss of $81.8 million, largely attributed to unrealized losses stemming from Bitcoin impairment, raising further concerns about the company’s financial health amid the ongoing market volatility.
