Nakamoto Q1 Revenue Up 5x to $2.7M, $238.8M Loss

Nakamoto reported a fivefold increase in first-quarter revenue after completing acquisitions of BTC Inc. and UTXO Management on February 20, though the company recorded a net loss of $238.8 million due to noncash charges and a drop in Bitcoin's value.

The revenue surge to approximately $2.7 million marked a 500 percent rise from the prior quarter, with contributions from newly integrated businesses despite their partial-quarter impact. Revenue sources included more than $1.1 million from Bitcoin treasury and derivatives strategies, $800,000 from media operations, $500,000 from healthcare, and $200,000 from asset management services, according to the company's quarterly filing.

The net loss stemmed primarily from noncash items, including a $107.7 million writedown on a pre-acquisition option and a $102.5 million mark-to-market loss on Nakamoto's 5,058 Bitcoin holdings. Bitcoin's price fell 23 percent during the quarter, from $87,519 at year-end to $68,220 by March 31, pressuring treasury values across the sector. The company generated about 43 Bitcoin in premium income from derivatives before selling roughly 40 Bitcoin, and it sold an additional 284 Bitcoin on March 31 to cover...