EddieJayonCrypto
13 May 25
GD Culture Group Limited, a microcap AI-driven digital human and livestreaming company, plans to sell up to $300 million in stock to finance purchases of Bitcoin and Trump Coin. This move aims to support its new crypto treasury strategy despite facing a Nasdaq delisting threat due to financial short...
GD Culture Group Limited plans to raise up to $300 million by selling stock to fund purchases of Bitcoin and Trump Coin, despite facing a Nasdaq delisting threat due to financial shortfalls.The microcap AI-driven digital human and livestreaming company aims to support its new crypto treasury strategy with this capital raise. However, GD Culture reported equity of just $2,643, far below Nasdaq’s $2.5 million minimum requirement, and must submit a compliance plan by May 4 to avoid delisting.With a market capitalization of $28 million and net losses of $14 million in 2024, concerns have arisen around the viability of GD Culture’s crypto ambitions, including risks of execution failure and shareholder dilution.The company has undergone several rebrands, previously known as Code Chain New Continent Limited and TMSR Holding Company Limited, and now operates through subsidiaries in the U.S. and China.Following the fundraising announcement—a purchase agreement signed with a British Virgin Islands investor—GD Culture’s stock price surged to $8.18 before closing at $2.51.Chairman and CEO Xiaojian Wang described the crypto treasury strategy as “a deliberate strategy that reflects both current industry trends and our unique strengths.” GD Culture joins other public firms integrating cryptocurrencies like Bitcoin into their treasury operations.At the time of reporting, Bitcoin traded near $102,500, while Trump Coin was priced at $12.6, down 9% over the previous 24 hours.