Datavault AI Stock Plunges 50% as Company Says It Can't Access Bitcoin Held on Biconomy

Datavault AI, a company that adopted a bitcoin treasury strategy, saw its stock price plummet by 50% after revealing it cannot access bitcoin held on the Biconomy platform. The firm announced an accounting correction that will reduce reported assets by $92.2 million at the end of 2025, because the bitcoin held on Biconomy could not be withdrawn. This disclosure raises serious concerns about counterparty risk and the safety of corporate bitcoin holdings on third-party platforms. Investors are now questioning the company's treasury management and the liquidity of its digital assets. The incident underscores the importance of secure custody solutions for companies holding bitcoin on their balance sheets. Moving forward, Datavault AI faces uncertainty as it attempts to resolve the issue and regain investor confidence.