Datavault AI shares dropped nearly 50% on Tuesday after the company said it cannot get its Bitcoin out of a crypto exchange. The stock closed at about $0.067 on Oct. 27.
The Nasdaq-listed company disclosed the problem in a Form 8-K filed with the Securities and Exchange Commission on Oct. 26. It also said four sets of its financial statements should no longer be relied upon.
Bitcoin Stuck on Biconomy
According to the filing, Datavault asked in June to withdraw Bitcoin from its wallet at Biconomy to an outside account. As of the filing date, it has been “unable to complete the withdrawal.”
The filing does not explain what is causing the delay.
The Bitcoin came from a deal signed on Sept. 25, 2025. Scilex Holding, a pain medicine company, agreed to pay $150 million in Bitcoin for 15 million Datavault shares and a pre-funded warrant for another 263.9 million shares.
At a price of $112,915.52 per coin, the deal equaled about 1,328.43 BTC. Scilex credited 1,309.04 BTC to Datavault’s Biconomy account in September and November 2025, after deducting 19.39 BTC for cash advances.
These were off-chain transfers. That means the exchange changed balances on its own books instead of moving coins on the Bitcoin blockchain.
Between September 2025 and January 2026, Datavault sold 491.431 BTC back to Scilex the same way. It received about $40.5 million in cash.
Scilex’s own filing shows Biconomy was involved from the start. Scilex sold 12.5 million shares of its Semnur Pharmaceuticals unit to Biconomy on Sept. 23, 2025, for $200 million in Bitcoin. It then used $150 million of that to buy Datavault stock.
Restatements and Going Concern Questions
After reviewing the deal, Datavault decided the Bitcoin never counted as a digital asset of the company. It will now record the deal as a subscription receivable, which is money a buyer owes for newly issued stock.
The restatements are expected to cut total assets by $8.1 million as of Sept. 30, 2025, and $92.2 million at the end of 2025. Assets will also drop by $57.1 million as of March 31, 2026, and $49 million as of June 30.
The company expects to reverse crypto gains and losses it had recorded on the coins. The affected reports include the 2025 annual report and three quarterly reports.
Datavault had treated the Bitcoin as a source of cash it could use. Because of that, management is reassessing whether the company can continue as a going concern.
The filing says collecting what Scilex owes is uncertain. Listed risks include Scilex’s creditworthiness, reliance on a third-party custodian, Nasdaq listing rules, and possible legal or regulatory action.
In June 2026, Scilex signed a binding term sheet to buy the 837 BTC in Datavault’s Biconomy wallet for $50 million. The deal calls for a $30 million first payment, with the remaining $20 million paid in installments through 2028.
Datavault stock rebounded to near $0.085 on Wednesday. The company has not said when it will file its restated reports and warned that its quarterly report for the period ended Sept. 30, 2026, may be delayed.
