Next Technology Authorizes Sale or Pledge of 5,833 Bitcoin to Reduce Risk and Strengthen Liquidity
Key Facts
Next Technology Holding’s board authorized the sale or pledge of the company’s bitcoin holdings, totaling about 5,833 units, in a decision effective October 30, 2026. The Nasdaq-listed company, ticker NXTT, said the board unanimously approved executing the transaction in one batch or in stages, with the aim of reducing risk and strengthening liquidity. The authorization does not mean a sale has been completed or will necessarily take place; it also allows the coins to be pledged to obtain financing. The decision follows a review of custody and market risks, including cyberattacks, security vulnerabilities at trading platforms and emerging technological threats. The board cited the potential cryptographic impact of quantum computing, as well as the recent Binance incident.
The board gave the CEO authority to determine the timing, price, size and installment schedule of any sale, and to negotiate sales or bitcoin-backed financing transactions. Options include selling the coins directly through crypto-asset trading platforms or conducting block trades with selected buyers, as well as pledging them to obtain financing. The company said there was no assurance regarding the timing, value or price of any transaction, whether it would be completed, or whether financing would be obtained. The authorization sets the range of options available to management, while the terms and timing of execution remain undecided. The statement did not announce an executed transaction or expected proceeds from selling or pledging the holdings.
The board cited the Binance hack in its risk review, although the company said none of its bitcoin is held at or through the platform. Binance said its hot wallets were compromised on October 29 and that the value of the stolen assets was about $6.3 billion. It added that it had frozen about $3 billion on-chain as of an October 30 update. In a preliminary investigation update, the platform said the incident may be linked to a compromised laptop belonging to a DevOps engineer, and that it had found no evidence that private wallet keys had been leaked. Binance said it would absorb the financial impact of the stolen funds through its SAFU fund and corporate treasury, and had allocated more than $6.34 billion for coverage.
The company’s financial disclosure provides context for its decision. In its quarterly report, it said its holdings remained at about 5,833 bitcoin on June 30, 2026, unchanged from December 31, 2025. But the carrying value of those assets fell to $351,509,806 from $516,153,485 between the two dates. The company said first-half results were affected by a decline in bitcoin’s fair value, and that the fair-value loss was unrealized and would not become cash until a sale. Other expenses totaled $164.6 million in the six months ended June 30, 2026, compared with other income of $395.7 million in the corresponding period of 2025, an unfavorable change of $560.3 million. The company reported a net loss of $135.6 million in the first half of 2026, compared with net income of $312.0 million a year earlier, attributing the decline mainly to the fair-value loss on digital assets.
The authorization marks a shift in the company’s approach to its bitcoin strategy, which its annual report described as continuing to accumulate when prices fall and expecting to sell when they rise. In its latest filing, the company said most of its holdings are kept in accounts with institutional custodians in Japan, without naming them in the published statement. In the market, bitcoin closed at $77,368.77 on October 30, according to EL7 data. The $6.6 closing price for QUBT on the same day was for Quantum Computing Inc., not NXTT, and therefore does not represent the company’s share-price reaction to the decision. Binance said it expected to share preliminary technical investigation findings within about 48 hours after verification, and planned to publish a proof-of-reserves snapshot by Monday, November 2, 2026.