Exodus Sells 1,000+ Bitcoin as Q1 Loss Doubles to $32M on Weak Crypto Trading Activity

Crypto wallet company Exodus Movement posted a net loss of $32.1 million in Q1 2026, more than double the loss recorded a year earlier, as declining user activity and lower trading volumes hit revenue. Total quarterly revenue fell 36.8% to $22.7 million, driven mainly by a sharp drop in its exchange aggregation business.

Monthly active users declined to 1.5 million, while funded users dropped 22.2% year-over-year, signaling weaker engagement across its platform during the quarter.

The company cited broader macroeconomic pressure, including shifting US economic expectations and policy uncertainty, as factors weighing on digital asset markets.

Bitcoin Treasury Liquidation Funds Strategic Acquisition

During the quarter, Exodus significantly reduced its Bitcoin holdings, selling about 63% of its treasury. The company held 1,704 BTC at the end of 2025 but reduced this to 628 BTC by March 2026. The sales generated approximately $73.2 million in proceeds.

Management said most of the funds were used to support its acquisition of W3C Corp, the parent company of fintech platforms Monavate and Baanx, as part of a broader expansion strategy.

Shift Toward Payments and AI Integration

Despite financial pressure, Exodus continues to expand its product offerings. The company recently introduced XO Cash, a Solana based stablecoin payment system designed to enable AI agents to make transactions using Visa-linked infrastructure while maintaining user control through wallet restrictions and spending limits.