Bitcoin News Today: KindlyMD Shares Tumble Below $1, Triggering Nasdaq Delisting Risk

KindlyMD, a Bitcoin treasury company listed on Nasdaq under the ticker NAKA, is now at risk of delisting after its shares fell below $1 for 30 consecutive trading days according to reports. The company has until June 8, 2026, to raise and maintain a share price above $1 for 10 consecutive days to avoid being removed from the exchange as noted in the Nasdaq notice. Nasdaq has granted it a 180-day window to meet compliance, a process that could include a reverse stock split or a transfer to the Nasdaq Capital Market according to financial reports.

The firm's stock has fallen to $0.38 as of December 16, 2025, down nearly 99% from its peak of $34.77 in May according to market data. This steep decline reflects broader challenges in the Bitcoin treasury sector, where companies have struggled with liquidity and investor confidence amid crypto market volatility according to industry analysis. KindlyMD now holds 5,398 bitcoins, valued at approximately $466 million, making it the 19th largest corporate holder of the cryptocurrency according to recent reports.

The delisting risk emerged after KindlyMD completed a reverse merger with Nakamoto Holdings in August, which shifted the company's focus toward Bitcoin treasury operations according to business reports. While the merger initially sent the stock soaring to a peak of around $25, the company's subsequent share price has been heavily impacted by financing strategies that involved selling discounted shares to private investors according to financial analysis. These efforts, part of a $563 million private investment in public equity (PIPE) deal, led to a flood of shares becoming eligible for resale, creating downward pressure on the stock according to market data.

Why the Standoff Happened

KindlyMD's struggles are emblematic of a broader trend among Bitcoin treasury companies, many of which have seen their market capitalizations fall far below the net asset value of their crypto holdings according to market analysis. Known as the mNAV ratio, this metric has dipped below 1 for many of these firms, meaning their market value is less than the value of the Bitcoin they hold according to financial reports. In KindlyMD's case, its shares are trading at 0.843 times its net asset value according to recent data. The company's recent Q3 earnings report was also delayed, citing complex accounting challenges arising from the merger with Nakamoto according to official statements.

The delisting risk is a significant development for a company that had positioned itself as a major player in the Bitcoin treasury space. Its Bitcoin holdings place it among the top 20 public companies by BTC holdings, according to BitcoinTreasuries.net according to market data. However, the steep drop in its stock price has raised questions about the viability of its business model and its ability to continue operating as a public company according to industry reports.

How Markets Reacted

KindlyMD's shares briefly rallied about 6% following the announcement of the delisting risk, suggesting investor speculation about potential remedial actions according to market reports. The company's CEO, David Bailey, has acknowledged the challenges and expressed a commitment to maintaining compliance with Nasdaq rules. He has also outlined plans to strengthen the company's cash flow by integrating Bitcoin Magazine, the Bitcoin Conference, and 210k Capital under the Nakamoto umbrella according to company announcements.

Meanwhile, the broader Bitcoin treasury sector continues to face headwinds. Companies like American Bitcoin and ProCap Financial have also seen sharp declines in their stock prices, with some down over 60% in the past month according to market analysis. Analysts suggest that the sector is entering a "Darwinian phase," where only the strongest companies will survive according to industry experts. This includes firms with robust business models that go beyond simply holding Bitcoin and instead generate cash flow through operating activities according to financial analysis.

Risks to the Outlook

The risk of delisting adds further uncertainty for KindlyMD and its shareholders. If the company fails to meet the Nasdaq's requirements, it could be forced to transfer to a lower-tier market, which would likely reduce its visibility and liquidity according to market reports. This could also affect the company's ability to raise capital or execute further strategic moves, such as additional Bitcoin acquisitions or partnerships according to financial analysis.

For investors, the situation highlights the challenges of investing in crypto-linked equities. While the sector was once seen as a promising way to gain exposure to Bitcoin without directly owning the asset, volatility and liquidity issues have made these stocks highly speculative according to market experts. The recent performance of KindlyMD and its peers underscores the importance of careful due diligence and a clear understanding of the risks involved.