GD Culture Group Plummets 28% After Bold 7,500 Bitcoin Acquisition Through Pallas Capital Deal

Corporate Strategy Meets Crypto Volatility—With Predictable Results

GD Culture Group just took a massive bet on Bitcoin—and investors aren't cheering. The company's stock nosedived 28% following its acquisition of 7,500 BTC via a deal with Pallas Capital. That’s one expensive entry into digital assets.

High-Stakes Gamble or Strategic Pivot?

While some see it as visionary, Wall Street’s reaction suggests skepticism. Traditional finance still views crypto moves as reckless—especially when it triggers a double-digit stock drop in a single session. Then again, since when did corporate treasury decisions need approval from short-sighted traders?

Timing, execution, market sentiment—all came together perfectly for this selloff. Nothing unites nervous shareholders like a sudden, multi-thousand Bitcoin purchase on the balance sheet.

Finance traditionalists are already sharpening their 'I told you so' speeches. Because nothing says 'stable growth' like betting nearly 30% of your market cap on an asset class famous for 20% daily swings.

GD Culture CEO Says Bitcoin Deal Aims to Build Diversified Crypto Reserve

CEO Xiaojian Wang said the acquisition supports the company’s goal of building a diversified crypto asset reserve, citing Bitcoin’s increasing institutional adoption as a key driver.

Despite the bullish tone, the market responded with skepticism. GD Culture Group (GDC) stock dropped to $6.99, its steepest single-day decline in over a year, according to Google Finance.

Shares rebounded slightly in after-hours trading but remain down 97% from their February 2021 high of $235.80. The company’s market cap now sits at just $117.4 million.

Investors appear concerned about the dilution caused by the issuance of new shares. Such moves often raise red flags, particularly when linked to speculative strategies like bitcoin accumulation.

VanEck previously warned that companies financing crypto purchases via stock offerings may erode shareholder value if their market price falls below the value of their assets.

GD Culture’s MOVE aligns it with a growing list of “Bitcoin treasury” firms, public companies that hold BTC on their balance sheets.

JUST IN: Publicly traded GD Culture Group ($GDC) to acquire Pallas Capital Holding along with its 7,500 #Bitcoin, positioning GDC to become one of the biggest players in BTC treasury strategy. pic.twitter.com/5jpCu6mot5

This trend accelerated in 2025, with over 190 public firms now holding Bitcoin, up from fewer than 100 at the beginning of the year. The market is still dominated by MicroStrategy, which controls nearly 70% of the total.

GD Culture first revealed its crypto ambitions in May, stating plans to raise $300 million to invest in digital assets, including Bitcoin and the Trump-themed memecoin TRUMP.

The announcement came just weeks after the firm received a Nasdaq warning for falling below the $2.5 million minimum equity requirement.

Strategy Tops Corporate Bitcoin Holdings with 636,505 BTC

Michael Saylor’s Strategy now holds 636,505 BTC, making it the largest corporate holder by a wide margin.

Bitcoin mining firm MARA Holdings remains in second with 52,477 BTC, after adding 705 BTC in August.

But new entrants are gaining ground. XXI, founded by Strike CEO Jack Mallers, has amassed 43,514 BTC, while the Bitcoin Standard Treasury Company holds 30,021 BTC.

Other major players include crypto exchange Bullish (24,000 BTC), Metaplanet (20,000 BTC), and publicly listed names like Riot Platforms, Trump Media & Technology Group, CleanSpark, and Coinbase.

This wave of accumulation has fueled speculation around a supply shock. With just 5.2% of Bitcoin’s fixed 21 million supply left to be mined, continued corporate demand could drive prices even higher.

Some firms are aiming much higher. Japan’s Metaplanet and U.S.-based Semler Scientific have set targets of 210,000 BTC and 105,000 BTC by 2027, ten to twenty times their current holdings.

Outside the US, 120 public companies now hold Bitcoin. Canada, the UK, Hong Kong, Mexico, South Africa, and Bahrain are among the countries where corporate BTC ownership is growing.