GD Culture Approves Bitcoin Sale to Fund 100 Million Dollar Share Buyback

GD Culture Group has secured board approval to sell a portion of its bitcoin holdings to finance a previously announced share repurchase program, signaling a strategic shift as the company navigates prolonged weakness in both its stock price and the broader crypto market.

The firm currently holds 7,500 bitcoins, valued at approximately 497 million dollars based on recent market prices. However, those holdings carry a significant unrealized loss. The company acquired its bitcoin position at a total cost of about 841.5 million dollars, leaving it with an estimated paper loss of 344 million dollars, or roughly 41 percent below its aggregate acquisition value.

Earlier this month, GD Culture authorized a 100 million dollar stock buyback program in response to persistent declines in its share price. The stock has fallen nearly 70 percent from its September 2025 peak, broadly mirroring the sharp correction in bitcoin after it reached record levels above 126,000 dollars last year. While shares were trading modestly higher in midweek action, the longer term performance reflects sustained pressure tied to digital asset volatility.

Under the newly approved plan, management will have discretion over the timing and size of any bitcoin sales. The company stated that it is not obligated to sell a fixed amount and may adjust, suspend, or terminate the program depending on market conditions and capital allocation priorities. This flexibility allows GD Culture to balance liquidity needs with potential recovery scenarios in the bitcoin market.

The company originally built its bitcoin treasury through the acquisition of Pallas Capital Holding, a transaction that was financed through the issuance of more than 39 million shares. That move significantly expanded its digital asset exposure and positioned the firm among a growing group of publicly traded companies holding bitcoin as a treasury reserve asset.

GD Culture is not alone in reconsidering its bitcoin strategy. Several crypto focused firms have recently reduced or liquidated portions of their holdings. Some have redirected capital toward artificial intelligence infrastructure or other technology initiatives, reflecting a broader reassessment of balance sheet risk in an environment of tighter liquidity and more selective investor sentiment.

Bitcoin has recently traded above 67,000 dollars after months of correction, but remains well below its prior highs. For treasury heavy companies like GD Culture, fluctuations in bitcoin’s price directly impact reported asset values, investor perception, and capital management decisions.

Market participants are closely watching how much of its bitcoin reserve GD Culture ultimately sells and whether the buyback program stabilizes its share price. The company’s next financial updates are expected to provide greater clarity on execution timelines, realized gains or losses, and the evolving role of digital assets within its corporate treasury framework.

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