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Datavault AI shares closed down 49.55% Tuesday after the company disclosed that it had been unable to withdraw bitcoin from Biconomy since June and would restate financial results. The company said the bitcoin tied to Scilex’s $150 million investment should have been recorded as an amount owed by Scilex, reducing reported assets by $92.2 million at the end of 2025 and $49 million as of June 2026.
Datavault AI shares fell 49.55% Tuesday after the company disclosed that it had been unable to withdraw bitcoin from the Biconomy exchange since June and would restate financial results. Datavault said bitcoin associated with Scilex Holding Company’s $150 million investment had been accounted for incorrectly, a correction expected to reduce reported assets by $92.2 million at the end of 2025 and $49 million as of June 2026.
The stock, traded under the ticker DVLT, closed at $0.067, with about 244 million shares traded, according to the report. The company said it requested a withdrawal to an external account in June, but the transfer remained incomplete as of its Monday filing. The filing disclosed an inability to access the bitcoin; it did not establish why the withdrawal was not completed.
The issue relates to a September 2025 agreement under which Scilex agreed to buy $150 million of Datavault shares and warrants using bitcoin. Datavault said 1,309.04 BTC was credited to its account at Biconomy through off-chain transfers, which update balances within an exchange rather than recording transfers on Bitcoin’s blockchain. Datavault later sold 491.4 BTC back to Scilex for about $40.5 million in cash.
Datavault now says the bitcoin credited through the investment should have been recorded as an amount owed by Scilex, rather than as cryptocurrency assets available to the company. The accounting change would reduce reported assets by the stated amounts at the end of 2025 and in June 2026. The company had treated the bitcoin balances as funds it could use to support operations, and said it must reassess that assumption.
The Cost of Inaccessible Bitcoin
The disclosure puts two issues in focus for Datavault: whether it can obtain the bitcoin held at Biconomy and how the funds tied to the Scilex transaction should appear in its financial statements. A sharp decline in the company’s share price followed the news, while the expected restatement could change how investors understand its reported assets and access to operating funds.
The accounting correction is not, by itself, proof that the company has lost the bitcoin or that it cannot recover it. But Datavault’s statement that it had counted the balances as available funding, alongside an unresolved withdrawal request, makes the asset’s practical availability a material question. The reported share-price move reflects market trading after the disclosure; it does not establish the cause of every investor’s decision.
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How the Scilex Bitcoin Deal Worked
In the arrangement announced in September 2025, Scilex agreed to purchase Datavault shares and warrants for $150 million in bitcoin. The bitcoin was credited to Datavault’s Biconomy account through internal exchange transfers, according to the report. Datavault later returned 491.4 BTC to Scilex in exchange for around $40.5 million in cash.
Scilex’s June financial report, as described by CoinDesk, said Scilex sold $200 million of shares in its subsidiary Semnur to Biconomy for bitcoin, then used $150 million to buy Datavault securities. The available reporting does not establish the full custody arrangements or explain why the June withdrawal request could not be completed.
“The company said it had been unable to withdraw bitcoin from Biconomy since June.”
— Datavault AI, in its filing as reported by CoinDesk
Withdrawal and Restatement Questions
It remains unclear why Biconomy has not completed the withdrawal, whether the bitcoin backing the account can be independently verified, and when or how Datavault expects to regain access. CoinDesk said it contacted Biconomy about the withdrawal and the bitcoin backing Datavault’s account but had received no response as of Wednesday afternoon in Asia.
The precise accounting presentation and timing of the restated results were not specified in the source material. The company’s expected reductions in reported assets are stated figures, but further details about the underlying records, the status of the Scilex obligation, and the effect on Datavault’s operations remain unclear.
Restated Results and Exchange Response
Datavault is expected to reassess its accounting for the Scilex-related bitcoin and issue restated financial results. Readers will be looking for the revised statements, an explanation of how the company classifies the amount owed, and an update on whether the withdrawal request has been fulfilled.
A response from Biconomy could clarify the exchange’s account of the transfer and the status of the funds, but none was reported by CoinDesk as of Wednesday afternoon in Asia. Until Datavault provides more detail, the timing of access to the bitcoin and the final impact on its financial statements remain unresolved.
Key Questions
Why did Datavault AI shares fall?
Shares closed down 49.55% at $0.067 Tuesday after Datavault disclosed that it had been unable to withdraw bitcoin from Biconomy since June and would restate financial results.
How much bitcoin was credited to Datavault?
Datavault said 1,309.04 BTC was credited to its Biconomy account through off-chain transfers tied to Scilex’s investment. The report also says Datavault later sold 491.4 BTC back to Scilex for about $40.5 million.
How much could reported assets be reduced?
Datavault said the correction is expected to reduce reported assets by $92.2 million at the end of 2025 and $49 million as of June 2026.
Does the disclosure mean Datavault has lost the bitcoin?
No loss of the bitcoin was established in the reported information. Datavault said it could not complete a withdrawal, but the reason, custody status, and prospects for access remain unclear.
What happens next?
Datavault is expected to restate its financial results and provide more information about its accounting treatment and withdrawal request. CoinDesk reported that Biconomy had not responded to its inquiry by Wednesday afternoon in Asia.
Source: rss
