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- American Bitcoin’s stock has plunged 97%, cutting the value of Eric Trump’s stake by about $600 million.
- The company increased its Bitcoin treasury from 7,500 BTC to 8,000 BTC despite the market downturn.
- Corporate Bitcoin demand has slowed after Strategy reduced its holdings, raising questions about future treasury buying.
Eric Trump has seen the value of his investment in Bitcoin mining and treasury company American Bitcoin Corp. shrink dramatically as the firm’s shares continue their steep decline.
According to Bloomberg, Trump’s roughly 6% ownership stake has lost approximately $600 million after American Bitcoin’s stock collapsed by 97% from its September 2025 high. Despite the sharp decline, the company is pressing ahead with its long-term Bitcoin accumulation strategy, signaling confidence in the digital asset despite ongoing market weakness.
American Bitcoin Stock Suffers Massive Decline
American Bitcoin Corp. (NASDAQ: ABTC) has experienced one of the sharpest declines among publicly traded Bitcoin-focused companies. Shares have fallen from a peak of $217 to around $5.98, with more than 29% of those losses occurring this week alone.
The prolonged sell-off pushed the company to implement a 1-for-5 reverse stock split on July 2. Reverse splits are commonly used by listed companies seeking to maintain exchange listing requirements by increasing the share price after significant declines.
The move follows a similar strategy adopted by other Bitcoin treasury firms facing listing pressure as crypto-related equities struggle alongside broader digital asset markets.
Bitcoin Treasury Expands to 8,000 BTC
Despite investor concerns surrounding its stock performance, American Bitcoin continues expanding its Bitcoin reserves.
The company recently increased its treasury holdings from 7,500 BTC to 8,000 BTC, reinforcing its commitment to accumulating the cryptocurrency during periods of market weakness.
Eric Trump, who serves as the firm’s Chief Strategy Officer, described the recent decline as part of normal crypto market volatility. He emphasized that the company remains focused on growing its Bitcoin reserves while maintaining profitable mining operations and disciplined operating costs.
The strategy reflects a long-term view that lower Bitcoin prices present buying opportunities rather than reasons to reduce exposure.
Corporate Bitcoin Demand Begins to Cool
American Bitcoin’s continued purchases come as broader corporate demand for Bitcoin shows signs of slowing.
The biggest shift has come from Strategy, historically the largest corporate Bitcoin buyer, which recently sold approximately $216 million worth of BTC. The transaction reduced total Bitcoin held by publicly listed companies from roughly 1.267 million BTC to 1.265 million BTC.
Over the past month, growth in corporate Bitcoin holdings has remained minimal, highlighting a more cautious approach among treasury-focused firms after years of aggressive accumulation.
While the market has largely absorbed Strategy’s sale, investors continue watching whether renewed buying from companies like American Bitcoin can strengthen confidence and support a more sustainable recovery in Bitcoin demand.
Also Read: SEC Faces August Deadline as American CryptoFed Pushes Locke Token Approval
American Bitcoin faces significant pressure after its stock collapse, but its leadership remains committed to expanding Bitcoin holdings rather than retreating from the market. Whether that conviction ultimately rewards shareholders will likely depend on Bitcoin’s long-term performance and whether corporate treasury demand regains momentum in the months ahead.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
