Nasdaq Bitcoin Firm Dilutes Investors By 98% Without Selling BTC

Nasdaq listed firm Next Technology Holding is preparing for its second reverse stock split in less than eleven months. The company announced plans to execute a 1 for 100 reverse split on August 10, 2026. This move comes after a previous 1 for 200 split took effect in September 2025. Despite holding a steady balance of approximately 5,833 Bitcoin, the firm kept issuing new shares through equity grants, warrant exercises, and direct offerings.

Because the company flooded the market with new equity, the actual amount of Bitcoin backed by each individual share crashed by roughly 98 percent. Back in September 2025, each share represented about 204,000 satoshis. By June 30, 2026, that figure dropped to just 4,000 satoshis per share. Long term investors who held stock before the September reset now face a compounding dilution ratio of one share for every 20,000 originally held.

This situation highlights a growing tension among public companies holding crypto treasuries. While firms accumulate digital assets to attract buyers, issuing endless shares to fund operations or acquisitions can severely hurt existing shareholders. Even though the upcoming reverse split will mathematically boost the satoshi count per new share, the underlying ownership slice for early investors has already taken a massive hit.

Traders and market watchers should keep an eye on how public markets treat treasury companies that rely on heavy share issuance. As more firms adopt crypto balance sheet strategies, investors are starting to question whether buying the stock actually delivers true value or just endless dilution.