Bit Origin (BTOG) Surges 5.26% on Reverse Split to Meet Nasdaq Requirements

Bit Origin (BTOG) climbed to a so-far this month high on Wednesday, surging 5.26% intraday as the stock extended its three-day winning streak with a cumulative gain of 8.66%. The rally follows the company’s announcement of a 1-for-60 reverse stock split, set to take effect on January 20, 2026, aimed at complying with Nasdaq’s minimum bid price requirement.

The corporate action will consolidate outstanding shares from approximately 88.6 million Class A and 768,000 Class B shares to 1.5 million and 12,800, respectively, while adjusting the par value and authorized shares. CEO Jinghai Jiang emphasized the move’s necessity for regaining compliance, though the company cautioned that success is not guaranteed. The split also includes adjustments to outstanding securities to ensure whole shares post-split, with a new CUSIP number for Class A shares to facilitate trading.

While the reverse split may elevate the per-share price to attract institutional investors, the aggressive 1-for-60 ratio—far exceeding typical splits—risks signaling desperation to avoid delisting. The company’s financial struggles, including a 98.63% revenue decline in the past twelve months and a 70% drop in valuation over the same period, underscore broader challenges. Despite a strong liquidity position with a current ratio of 9.5, the split’s efficacy in stabilizing the stock remains uncertain, as investors weigh its compliance-driven intent against the company’s long-term strategic bets in digital assets and blockchain initiatives.