Key Highlights
- Board of Directors at GD Culture Group has greenlit the potential liquidation of portions from its 7,500 BTC holdings to support a $100 million stock repurchase initiative.
- Current Bitcoin holdings are valued at approximately $497 million, though the company faces an unrealized deficit of $344 million.
- The Bitcoin position was established through the company’s December 2025 purchase of Pallas Capital.
- Shares of GDC climbed 7% in Wednesday trading but continue to trade roughly 70% below September 2025 highs.
- Company executives retain complete flexibility regarding execution timing and sale volumes — no mandatory sale amounts exist and the initiative may be suspended without notice.
GD Culture Group (GDC) announced Wednesday that its board of directors has authorized the possible liquidation of a portion of its 7,500 Bitcoin treasury to support a share repurchase initiative.
The company unveiled the $100 million buyback program on February 18. Proceeds from Bitcoin sales would be allocated toward covering repurchase expenses, including transaction fees and tax obligations.
Executive management retains authority to execute sales through a series of transactions. Neither specific quantities nor a definitive schedule have been established.
The organization maintains the right to adjust or terminate the initiative at its discretion. No requirement exists to liquidate any predetermined Bitcoin amount.
GD Culture secured its Bitcoin position through an equity swap transaction completed in December 2025, when it purchased 100% of Pallas Capital’s assets — including the complete 7,500 BTC position — by issuing 39.18 million new equity units.
The transaction was presented as a strategic initiative to establish a long-term cryptocurrency treasury position. Results have diverged from initial expectations.
Substantial Unrealized Deficit
GD Culture’s aggregate Bitcoin acquisition expense totaled $841.5 million. With current market pricing hovering around $67,000 per Bitcoin, the portfolio’s present value stands at roughly $497 million.
This places the organization’s unrealized deficit at approximately $344 million — representing a decline of nearly 41% from the original investment.
According to publicly available information, GDC maintains the 15th largest Bitcoin position among publicly traded corporations.
Equity Performance Remains Weak
GDC shares advanced approximately 7% during Wednesday’s session, benefiting from Bitcoin’s modest recovery above the $67,000 threshold.
Notwithstanding this uptick, the equity remains down nearly 70% from its September 2025 zenith — mirroring Bitcoin’s substantial decline from its all-time high exceeding $126,000.
GD Culture isn’t the only corporate Bitcoin holder reconsidering its strategy. Earlier in the week, Bitdeer liquidated its complete BTC position to reallocate resources toward AI data center development.
Riot Platforms similarly decreased its BTC holdings during the latter part of last year.
GD Culture conducts operations through two subsidiary entities — AI Catalysis Corp. based in the United States and Shanghai Xianzhui Technology Co., Ltd. in China. The Nevada-incorporated entity underwent rebranding from Code Chain New Continent Limited in January 2023.
The organization specializes in artificial intelligence-powered digital avatar technology and livestreaming commerce platforms.
GDC trades on the Nasdaq exchange. With its Bitcoin treasury currently valued at approximately $497 million, the company holds the 15th largest public Bitcoin position among exchange-listed corporations.
