Board Approves Bitcoin Sale, Shares Surge
Shares of GD Culture Group (Nasdaq: GDC) surged nearly 15% Wednesday after the company’s board approved the sale of its 7,500 bitcoin holdings, currently valued at roughly $510 million—more than double the firm’s $210 million market capitalization. Shares have since eased and are trading up 10% on the day.
The board said proceeds from the sale would fund a previously announced $100 million share repurchase program disclosed on Feb. 18. The program is expected to be executed over the next six months, with management retaining flexibility to sell bitcoin in one or more transactions as market conditions dictate. The company emphasized it is under no obligation to sell a specific amount and can alter or suspend the plan at any time.
Valuation Gap and Buyback Plan
The decision highlights a striking valuation gap: GD Culture’s bitcoin alone exceeds its total equity value. Its market cap-to-net asset value ratio (mNAV) sits around 0.5, among the lowest for corporate bitcoin holders. The company’s stock has lost about two-thirds of its value since last year, largely tracking bitcoin’s decline from record highs above $126,000.
Nevada-based GD Culture operates through subsidiaries AI Catalysis and Shanghai Xianzhui Technology Co., focusing on AI-driven digital human technology and live-streaming e-commerce. With 7,500 BTC on its balance sheet, the company ranks among the 15 largest corporate bitcoin treasuries. GD Culture acquired its bitcoin stash following the 2025 purchase of Pallas Capital Holding, which was partly financed through the issuance of 39.18 million shares. Earlier in 2025, the company sold up to $300 million in stock to fund a broader crypto treasury strategy, which included purchases of bitcoin and the TRUMP memecoin.
The company reported net income of $9.6 million for the nine months ended Sept. 30, 2025, a turnaround from a $14.1 million loss in 2024. Despite the positive earnings, GD Culture’s shares remain under pressure amid bitcoin’s broader sell-off.
Other Corporations Are Selling Bitcoin
Other corporate bitcoin holders have also adjusted their treasuries recently. Bitdeer sold its entire BTC reserve to fund AI data center expansion, while Riot Platforms reduced its holdings late last year. GDC shares were trading up about 10% to $3.70 at publication time, reflecting a modest rebound in the price of bitcoin to near $69,000. Other crypto‑exposed stocks are rallying today as well in tandem with Bitcoin’s rebound. Coinbase (COIN) surged over 13%, Strategy (MSTR) over 8%, and Robinhood (HOOD) over 6%.