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Datavault AI trapped $65M in Bitcoin, shares plunge 50%, raising insolvency fears.

Market News
28 Oct 2026, 15:00 WIB
AMBCrypto
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Bearish
Datavault AI trapped $65M in Bitcoin, shares plunge 50%, raising insolvency fears.

Datavault AI cannot withdraw approximately 817 BTC worth over $65 million from the Biconomy exchange since June, forcing it to restate financial results and slash reported assets by $92.2 million for December 2025 and $49 million for June 2026. The company's shares have dropped over 50%, reflecting investor panic and concerns about its financial stability, as Bitcoin was a key liquidity source. While the broader crypto market remains mostly unaffected, the incident raises questions about the security and liquidity of corporate Bitcoin holdings and the risk of insolvency if the issue persists. Datavault AI has not clarified why the BTC withdrawal is blocked, leaving uncertainty about whether this is an operational or dispute-related problem.

The story about Datavault AI's locked Bitcoin treasury is provided here with market context for readers. For those following the broader cryptocurrency market, 46 out of 50 major cryptocurrencies tradable on Pluang rose today. Notable movers include GRT at Rp413 with a 1-day change of +4.99%, COTI at Rp191 with +4.65%, and LINK at Rp214.684 with +4.34%. This data is as of Oct 28, 2026 18:43 WIB.

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