American Bitcoin Market Cap Slumps to $1.3B after $90K Mining Cost Allegations
ABTC•American Bitcoin’s market cap collapsed from a $13.2 billion peak to under $1.3 billion, erasing approximately $500 million in shareholder value since its September 2025 Nasdaq debut. A probe alleges its 53% discount mining claim understates all-in costs closer to $90,000 per coin versus the reported $57,000, triggering governance scrutiny.
1. Market Cap Decline and Shareholder Impact
American Bitcoin’s market capitalization fell from a $13.2 billion peak to below $1.3 billion, wiping out roughly $500 million in value since its September 2025 Nasdaq debut and raising investor concern over its share structure.
2. Mining Cost Dispute
The probe challenges ABTC’s claim of mining Bitcoin at a 53% discount to spot, arguing that all-in production costs, once depreciation and overhead are included, run nearer $90,000 per coin rather than the $57,000 publicized.
3. Eric Trump's Defense and Financials
Eric Trump defended the company on social media, denouncing the allegations as propaganda and highlighting Q4 revenue of $78.3 million—up 22% quarter-over-quarter—and a treasury holding of over 7,000 BTC, while his personal net worth expanded from $190 million to $280 million.
4. Governance and Sector Implications
This governance scrutiny intensifies uncertainty within the Bitcoin mining sector, with potential implications for American Bitcoin’s valuation and broader market sentiment on mining profitability and transparency.
