Crypto Firms’ AI Pivot Fails to Stop Stock Rout, Median Drop 43%

At least 12 companies that built their business around purchasing digital assets have in recent months pivoted to artificial intelligence, but the strategic shift has not restored investor confidence. Bloomberg-tracked shares of Digital Asset Treasury (DAT) firms in the US and Canada have suffered a median decline of 43% since the start of the year. Many now trade below the net value of the assets they hold, and management teams are exiting the business.

Specific examples highlight the poor reception. K Wave Media Ltd., which previously accumulated bitcoin, shifted to developing data centers—its shares have tumbled 71% since a May relaunch. Lixte Biotechnology Holdings Inc. dropped 33% after agreeing in June to merge with an energy-sector company. AlphaTON Capital, an altcoin holder, lost 33% following its rebranding to Alpha Compute in April.