In a groundbreaking development for the cryptocurrency sector, Gryphon Digital Mining has successfully secured shareholder approval for a transformative reverse merger with American Bitcoin, ultimately creating a new Nasdaq-listed entity under ticker symbol ABTC. This strategic move represents one of the most significant Bitcoin mining consolidations of 2024.
Historic Bitcoin Mining Merger Approval
Shareholders overwhelmingly approved the stock-for-stock merger on Wednesday, with official confirmation arriving Friday. Consequently, the companies will execute a reverse five-to-one stock split scheduled for September 2nd at 5:00 PM ET. Following completion, the combined entity will immediately adopt the American Bitcoin name and commence trading as ABTC on Nasdaq.
Strategic Bitcoin Mining Expansion
The reverse stock split will dramatically reduce outstanding shares from approximately 82.8 million to about 16.6 million. This consolidation excludes any new issuances related to the transaction. Moreover, the merger provides American Bitcoin with immediate public market access through Gryphon’s existing Nasdaq listing, effectively bypassing traditional IPO requirements.
Market Reaction and Trading Performance
Following initial enthusiasm, Gryphon’s stock experienced volatility. Shares closed down 10.5% at $1.54 on Friday, with trading volume nearly tripling the daily average. This movement partially retraced Thursday’s substantial 41% rally that occurred after merger news initially broke.
American Bitcoin’s Mining Origins
American Bitcoin emerged in March when President Donald Trump’s sons rebranded American Data Center. The venture launched as part of Hut 8, a established digital asset mining infrastructure company. Initially, American Bitcoin positioned itself as a pure-play Bitcoin mining operation with ambitious treasury accumulation plans.
Combined Bitcoin Mining Potential
The merger theoretically combines Gryphon’s cost-efficient mining infrastructure with American Bitcoin’s aggressive accumulation strategy. This creates a more scalable and investor-friendly platform. Verifiable disclosures show American Bitcoin holds 215 BTC, though industry estimates suggest potential holdings up to 1,941 BTC.
Industry Context and Trends
This consolidation occurs amid growing corporate Bitcoin treasury strategies. Public companies collectively hold 989,926 BTC, with MicroStrategy dominating nearly 64% of the total. The ABTC merger represents the latest evolution in institutional Bitcoin mining adoption and public market accessibility.
Future Outlook for ABTC
The newly formed entity begins trading September 2nd with enhanced mining capabilities and public market presence. Market analysts will closely monitor ABTC’s performance as it combines established mining infrastructure with ambitious growth objectives in the competitive Bitcoin mining sector.
Frequently Asked Questions
What is the new ticker symbol after the merger?
The combined entity will trade under ticker symbol ABTC on Nasdaq.
When does the reverse stock split occur?
The five-to-one reverse stock split is scheduled for September 2nd at 5:00 PM ET.
How does this benefit American Bitcoin?
The merger provides immediate public market access without undergoing a traditional IPO process.
What Bitcoin holdings does American Bitcoin possess?
Verifiable disclosures show 215 BTC, though estimates suggest potentially higher holdings.
How did Gryphon’s stock perform after the announcement?
The stock initially surged 41% but closed down 10.5% on Friday with elevated trading volume.
What is the strategic advantage of this merger?
It combines Gryphon’s mining infrastructure with American Bitcoin’s accumulation strategy for enhanced scalability.
