GD Culture Group plans to invest up to $300 million in Bitcoin and the TRUMP token to rebuild its treasury.
The move comes despite a $14.1M net loss and Nasdaq compliance warnings.
GD Culture Group, a Nasdaq-listed company best known for its work in AI and livestream e-commerce, has stunned markets by announcing plans to pour up to $300 million into Bitcoin and the TRUMP memecoin. The money will come through a stock sale deal with an unnamed investor based in the British Virgin Islands.
GDC says it’s not just dabbling in crypto—it’s planning to make these digital assets a permanent part of its treasury. The company hopes this move will shore up its shaky financials and position it for long-term growth in the blockchain and digital asset space.
Xiaojian Wang, the company’s CEO, didn’t mince words: “This funding is a big win for us. It shows we’re serious about leading the shift toward blockchain technology and creating long-term value for our shareholders.” said Xiaojian.
Financial Troubles Cloud GDC’s Crypto Leap
GDC is currently not in a favorable shape. The company posted a $14.1 million loss last year, barely better than its $14.3 million loss the year before. And things could get worse.
Nasdaq recently warned GDC that it is out of compliance with the minimum equity requirement to stay listed. The company has just 45 days to explain how it plans to turn things around—or risk being kicked off the exchange.
That’s what makes this massive crypto bet so risky. Some in the crypto space are sceptical. Crypto Analyst criticized this move in a sophisticated manner via her X handle, she describes the investment “like a warship sailing with paper sails. Bitcoin is a weapon of decentralization, not a toy for the elites.”
Another investor commented bluntly, “GDC is gambling on Bitcoin and a memecoin while barely keeping the lights on. This isn’t a bold move—it’s desperation dressed up as strategy.”
Riding the Crypto Wave—or Getting Caught in It?
GDC’s crypto push follows a growing trend. Strategy, (formerly known as MicroStrategy) the poster child for corporate Bitcoin investing, just snapped up another 13,390 BTC, bringing its total to over half a million coins. Japanese firm Metaplanet also keeps stacking Bitcoin and now holds more than El Salvador’s national stash.
Even Donald Trump has jumped into the mix, calling for the U.S. to embrace Bitcoin reserves and defend the industry. That might explain why GDC is buying into the TRUMP memecoin—a move that’s as political as it is financial.
Wang insists the company’s tech background gives it an edge: “We know digital. We know e-commerce. Crypto is the next step, and we’re ready.”
Market Reaction Mixed as Volatility Persists
If GDC hoped to spark investor excitement, the initial reaction was lukewarm. Bitcoin dipped slightly to $102,267, and TRUMP took a bigger hit, falling 10% to $12.48.
There are still many unanswered questions. How much of the $300 million will go to Bitcoin versus TRUMP? What’s the timeline? And will this stock sale hurt current shareholders by diluting their stakes?
GDC’s big bet now looks more like a Hail Mary than a masterstroke. It might pay off, but it could backfire if the market turns or regulators take issue with the strategy. Time will tell whether this is the beginning of a bold comeback or another chapter in a company’s decline.