Eric Trump’s American Bitcoin Steadies After ‘First Major Unlock' of Shares

Core Insights - American Bitcoin shares experienced a partial recovery after a significant drop due to the end of a lockup period for certain investors, with shares trading around $2.33, down 35% from $3.60 on Monday [1][2] Company Overview - American Bitcoin was formed through a merger between the Trump brothers' business and Miami-based Bitcoin miner Hut8, and it plans to go public via a merger with Gryphon Digital Mining [4] - The company sold 159 million shares for $220 million in a private placement, which are now valued at approximately $397 million based on current prices [3] Financial Performance - In the third quarter, American Bitcoin mined Bitcoin at a cost of around $50,000 per coin and currently holds 4,004 Bitcoin valued at roughly $370 million [5] - The company generated $64 million in revenue, a significant increase from $11.6 million the previous year, and reported a profit of $3.5 million, recovering from a loss of $576 million a year ago [6] Market Dynamics - The recent share unlocks have negatively impacted crypto-buying firms, which were trading above the value of their crypto holdings, leading to lower stock prices for companies like SharpLink Gaming and Upexi [6] - American Bitcoin's President indicated that more shares will soon become freely tradable, marking the first major unlock of pre-merger shares [3][4]