Nakamoto Inc. executed a 1-for-40 reverse stock split effective May 22, 2026, vaulting its share price from roughly $0.16 to around $6 in a bid to stay listed on the Nasdaq.
The move was necessary because Nasdaq requires listed companies to maintain a minimum bid price of $1 per share. Nakamoto’s stock had been trading well below that threshold for months, putting its listing in jeopardy with a compliance deadline approaching in June 2026.
From $34 to $0.16: the backstory
The company’s shares hit highs of approximately $29 to $34 during 2025. By the time the reverse split was announced, they had cratered to a range of $0.16 to $0.22. That’s a decline of over 99%.
The reverse split consolidated roughly 696.1 million outstanding shares into about 17.4 million. The authorized share count remains unchanged, and trading continues under the ticker NAKA with a new CUSIP of 49457M205.
Shareholders approved the action at a special meeting on May 8, 2026, where they sanctioned a ratio anywhere from 1-for-20 to 1-for-50. The board settled on 1-for-40.
What Nakamoto actually does
Nakamoto Inc. is led by CEO and Chairman David Bailey and operates as a Bitcoin treasury vehicle. As of March 31, 2026, the company held approximately 5,064 BTC. It also houses several Bitcoin-focused subsidiaries, including BTC Inc. and UTXO Management, which were folded in after a 2025 merger with KindlyMD.
What this means for investors
Delisting would push NAKA to over-the-counter markets, where liquidity dries up, institutional investors can’t easily participate, and the stock becomes significantly harder to trade. Staying on Nasdaq keeps the door open for potential recovery.
The post-split share count of around 17.4 million is notably lean. A lower float can amplify price swings in both directions, meaning NAKA could see heightened volatility as the market digests the restructuring.
Institutional investors who were previously barred from touching a sub-$1 stock may now take a second look. Many funds have internal rules or regulatory constraints that prevent them from holding penny stocks. A $6 price point, while modest, clears that hurdle.
Nakamoto’s entire value proposition depends on Bitcoin’s trajectory and the market’s willingness to assign a premium to a treasury vehicle versus just owning Bitcoin directly. With 5,064 BTC on the books and a stock that lost over 99% of its value in roughly a year, the June compliance deadline will pass, but the harder question of whether Nakamoto can rebuild investor confidence will linger far longer.