GD Culture Group posted a $211.8 million unrealized Bitcoin loss for the first half of 2026 while its split-adjusted share count grew 18.15 times over the same period. The Nasdaq-listed company kept its entire 7,500 BTC reserve intact and instead funded operations by selling stock.
The company's share count rose to 18.15 times its year-end level in the first half of 2026, even as GD Culture Group avoided selling any of its core Bitcoin reserve. Instead, the Nasdaq-listed digital media and technology firm absorbed a $211.8 million noncash charge on its crypto holdings.
A paper loss, not a sale
GD Culture held 7,500 BTC with an original cost of $842 million and a June 30 fair value of $451.2 million, according to its Aug. 14 quarterly filing. That Bitcoin loss made up about 97.9% of the company's $216.2 million net loss for the first six months of 2026.
The charge reflected fair-value accounting as Bitcoin's price moved, not a cash outflow or a sale of the core reserve. Separately, GD Culture sold about 1.08 BTC held for short-term trading, receiving $71,201 and recording a $28,799 realized loss. The 7,500-BTC reserve entered the company through its September 2025 acquisition of Pallas Capital Holding.
Equity sales covered the gap
GD Culture ended 2025 with 229,278 shares outstanding and finished June with 4,162,500, after retroactively adjusting both figures for the June 29 one-for-250 reverse split. That increase of 3,933,222 shares left the ending count 18.15 times its year-end level.
Cash issuances accounted for 3,919,455 of those additional shares, or 99.65% of the increase. From May through June, the company sold 2,882,249 split-adjusted shares through its at-the-market program for about $42 million net. It also sold 1,037,206 split-adjusted shares in a June placement at an adjusted $5.25 each, raising about $5.45 million gross.
Liquidity through year-end
GD Culture received $25.1 million of financing cash during the first half, while another $21.5 million in ATM proceeds remained in the underwriter's brokerage account at quarter-end and was booked as a receivable. At June 30, the company reported $7.2 million in operating bank accounts and $36.6 million of working capital, which included that ATM receivable, after using $12.3 million of cash in operations during the half.
Management concluded it had enough liquidity to meet its obligations for at least 12 months after the interim financial statements were issued.
Source: GD Culture Group SEC quarterly filing
Trading involves risk.
Risk Disclaimer
