American Bitcoin (ABTC), a mining company backed by members of the Donald Trump family, posted a fourth quarter loss of $59 million as falling Bitcoin prices reduced the value of its crypto holdings. The company, which went public in September, was affected by a 23% decline in Bitcoin during the reporting period.
Under updated guidelines from the Financial Accounting Standards Board (FASB), firms must mark digital asset holdings to market prices. As a result, American Bitcoin recorded a $227 million non-cash loss tied to valuation adjustments.
Over 6,000 BTC Held Through Mining and Purchases
Despite the quarterly setback, American Bitcoin expanded its holdings to more than 6,000 BTC. Roughly one-third of its reserves were generated through mining operations, while the remaining two-thirds were acquired via open-market purchases and strategic transactions.
The company raised $150.5 million through a fourth-quarter at-the-market stock offering, increasing its per-share Bitcoin exposure by nearly 50%. Annual revenue reached $185.2 million, with fourth quarter revenue up 22% compared to the prior quarter. Mining operations maintained a 53% gross margin, indicating production costs remained below prevailing market prices.
American Bitcoin’s majority owner, Hut 8, also reported earnings this week, outlining expanded credit facilities and development capacity as the mining sector navigates continued price volatility.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.