Datavault AI (DVLT) shares plunged nearly 50% on Tuesday after a filing revealed that the company has been unable to withdraw bitcoin from crypto exchange Biconomy since June and will have to restate its financial results.
The stock closed at $0.067, down 49.55%, with roughly 244 million shares traded.
Background of the Bitcoin Investment
The issue traces back to a September 2025 agreement with Scilex Holding Company, which agreed to purchase $150 million of Datavault shares and warrants using bitcoin.
Scilex credited 1,309.04 BTC to Datavault’s account at Biconomy through off-chain transfers, meaning the balances changed within the exchange rather than through transactions on Bitcoin’s blockchain. Datavault subsequently sold 491.4 BTC back to Scilex for about $40.5 million in cash.
However, when Datavault requested a withdrawal to an external account in June, the transfer could not be completed, the company said, and remained incomplete as of Monday’s filing.
Biconomy was also involved in supplying the bitcoin behind the investment. Scilex’s June financial report says it sold $200 million of shares in its subsidiary Semnur to Biconomy for bitcoin, then used $150 million to buy Datavault securities.
Restatement and Asset Reduction
Datavault now says the bitcoin credited through Scilex’s investment should have been recorded as an amount Scilex owed for the shares. That amount would reduce shareholders’ equity instead of appearing among Datavault’s cryptocurrency assets.
The correction is expected to reduce reported assets by $92.2 million at the end of 2025 and $49 million as of June 2026.
Datavault had counted those bitcoin balances as money it could draw on to keep the business running, but must now revisit that assessment.
CoinDesk contacted Biconomy about the withdrawal request and the bitcoin backing Datavault’s account and did not receive a response as of Asian afternoon hours Wednesday.
