Eric Trump has experienced a significant devaluation in his stake with American Bitcoin Corp., amounting to approximately $600 million, as reported by Bloomberg. Trump, who holds a 6% ownership in the Bitcoin mining and treasury firm and serves as Chief Strategy Officer, has seen the firm's stock plummet by 97%, crashing from a high of $217 in September 2025 to a low of $5.98 this week, which alone saw a decrease of over 29%.
The drastic drop in stock value necessitated a reverse stock split of 1-for-5 on July 2, to maintain NASDAQ listing requirements. A company must secure a minimum bid price of $1 per share to remain listed, a rule that has forced other firms like Nakamoto to execute stock splits to avoid delisting.
Despite the decline, American Bitcoin Corp. has expanded its Bitcoin holdings, increasing from 7,500 to 8,000 BTC. Eric Trump characterized the stock downturn as mere 'crypto market volatility' and emphasized the firm’s ongoing strategy to accumulate more BTC at lower prices. He highlighted the company's 52% profit margin in Q1 and its commitment to maintaining low operating costs while continuing to build its treasury.
In the broader market context, demand for Bitcoin among corporate treasuries has waned significantly, especially after the largest buyer, known as Strategy, transitioned to a seller. Recently, Strategy sold off $216 million worth of BTC, contributing to a negligible demand rate of only 0.3% in the last month. Overall, the total BTC held by public companies has decreased from 1.267 million to 1.265 million, following these sales.
This article is for informational purposes only and does not constitute financial advice.
