Datavault AI Shares Crash 50% After Company Reports Lost Access to Bitcoin

Datavault AI (DVLT) shares plunged nearly 50% on Tuesday after a company filing disclosed that it had been unable to withdraw Bitcoin held on cryptocurrency exchange Biconomy since June. The issue will also force the company to revise its previously reported financial results.

Shares of the Oregon-based firm closed at $0.067, marking a 49.55% decline. Trading activity was heavy, with approximately 244 million shares changing hands.

The issue stems from an agreement signed in September 2025 with Scilex Holding Company, which agreed to purchase $150 million worth of Datavault shares and warrants using Bitcoin.

Under the arrangement, Scilex transferred 1,309.04 BTC to Datavault’s account on Biconomy through off-chain transfers. These transactions updated balances within the exchange rather than being recorded directly on Bitcoin’s blockchain. Datavault later sold 491.4 BTC back to Scilex in exchange for approximately $40.5 million in cash.

However, Datavault said it encountered problems when it attempted to withdraw the remaining Bitcoin to an external account in June. The withdrawal had still not been completed by the time the company submitted its filing on Monday.

Biconomy was also connected to the Bitcoin used in the investment arrangement. According to Scilex’s June financial report, the company sold $200 million worth of shares in its subsidiary Semnur to Biconomy in exchange for Bitcoin. Scilex then used $150 million of the proceeds to purchase Datavault securities.

Accounting revision cuts reported assets

Datavault now says the Bitcoin balances received through Scilex’s investment should have been treated as an amount owed by Scilex for the shares, rather than as cryptocurrency assets belonging to Datavault.

Under the revised accounting treatment, the amount would reduce shareholders’ equity instead of being recognized as part of the company’s digital asset holdings.

The adjustment is expected to lower Datavault’s reported assets by $92.2 million as of the end of 2025 and by $49 million as of June 2026.

Previously, the company had counted the Bitcoin balances as funds available to support its ongoing business operations. The accounting change means Datavault must reassess its earlier view of those assets and their availability.

CoinDesk contacted Biconomy regarding the pending withdrawal and the Bitcoin supporting Datavault’s account. The exchange had not responded by Wednesday afternoon in Asia.