American Bitcoin Corp. (Nasdaq: ABTC) shares fell more than 8% after the company announced it will implement a 1-for-15 reverse stock split next week to regain compliance with Nasdaq Capital Market listing requirements.
The stock closed at $0.6241, down 8.37% on the day, even as the company outlined plans to consolidate its shares. The reverse split will become effective after market close on July 2, with split-adjusted trading expected to begin on July 6 under the existing ABTC ticker.
ABTC share price falls despite reverse split plan
American Bitcoin’s shares declined despite the announcement, suggesting investors remained cautious about the move. After closing at $0.6241, the stock recovered slightly in after-hours trading to $0.6299, up 0.93%.
Trading activity also accelerated, with nearly 38.8 million shares changing hands during the session, significantly above the stock’s average daily volume of approximately 13.9 million. The company currently has a market capitalization of about $1.12 billion, while its shares have traded between $0.6122 and $14.52 over the past 52 weeks.
Reverse split targets Nasdaq compliance
American Bitcoin said the reverse stock split is designed to increase its per-share trading price to satisfy Nasdaq Capital Market’s minimum bid price requirement. The company’s shareholders approved the measure at the annual meeting held on June 22, 2026, after which the board finalized the 1-for-15 split ratio.
The reverse split will take effect at 5:00 p.m. EDT on July 2, and trading on a split-adjusted basis is expected to begin when markets open on July 6. The company will continue trading under the ABTC ticker, although its shares will receive a new CUSIP number.
Outstanding shares to shrink significantly
Following the reverse split, American Bitcoin’s outstanding shares will decline from approximately 1.09 billion shares to about 73 million. Class A common stock will decrease from roughly 360 million shares to about 24 million, while Class B common stock will fall from approximately 732 million shares to around 49 million.
The reverse split changes only the number of shares outstanding and the corresponding per-share price. It does not alter the company’s overall market capitalization, authorized share count, or par value.
What shareholders should know
Every 15 pre-split shares will automatically convert into one post-split share. Fractional shares will not be issued. Instead, eligible shareholders will receive a cash payment in lieu of fractional shares through the company’s transfer agent, Continental Stock Transfer & Trust Company.
Investors holding shares through brokers, banks, or other nominees are not required to take any action, as their holdings will be adjusted automatically. Registered shareholders with electronic holdings also do not need to take additional steps.
Shareholders who hold physical stock certificates will receive instructions from the transfer agent explaining how to exchange their existing certificates after the reverse split takes effect.
Also Read: Bitcoin Price Prediction July 2026: Will BTC Go Up or Crash?
