Datavault AI stock falls 50% after unable to withdraw 1,309 BTC from Biconomy exchange since June, raising questions about asset recognition and Scilex payment collection.
Macro & Markets ·
Datavault AI's shares fell nearly 50% following disclosure that the company has been unable to withdraw 1,309.04 BTC held at Biconomy exchange since June, when it requested a transfer to an external account. The Bitcoin was received from Scilex in September 2025 as payment for an equity purchase, though 491.431 BTC was later transferred back to Scilex in exchange for approximately $40.5 million in cash. All transactions occurred off-chain, recorded on the exchange's books rather than the Bitcoin network.
In a Form 8-K filing on October 26, Datavault determined retroactively that the Bitcoin did not meet requirements for recognition as a digital asset on its financial statements, creating immediate accounting complications. Management flagged uncertainty over whether it can collect payment from Scilex and is now reassessing the company's viability, given that the BTC had been counted as a liquidity source. Share price hit a 52-week low of $0.060 during the session before closing at $0.067 on October 28, leaving the company's market capitalization near $65 million.
The core issue remains unresolved: no reason has been disclosed for Biconomy's failure to process the withdrawal request over a four-month period, and it is unclear whether the impasse reflects technical delays, custody complications, or other constraints on the exchange's operations.