Public companies now hold 1.3 million BTC, up 31% over 14 months, according to CryptoQuant. Strategy accounted for 71% of that growth, underscoring the continued expansion of corporate Bitcoin treasuries.

Datavault AI said it could not withdraw 1,328.43 bitcoin and will restate four financial reports, CoinDesk reported. The company reclassified bitcoin received in a $150 million Scilex stock transaction as warrant receivables. The change could cut reported assets by as much as $92.2 million. Management is reassessing its ability to continue as a going concern; it had treated the bitcoin as a liquidity source. Recovery of amounts owed by Scilex remains uncertain. The disclosure appears in a Form 8-K filed Oct. 26. Datavault asked to move the bitcoin to an external account in June but could not complete the withdrawal. The filing did not specify the reason. The bitcoin came from a Sept. 25, 2025 agreement. Scilex Holding, a pain-medication company, agreed to pay $150 million in bitcoin for 15 million Datavault shares and a preemptive warrant covering another 263.9 million shares. A preemptive warrant gives the holder the right to buy shares, with nearly all of the price paid upfront. At $112,915.52 per bitcoin, the payment equated to about 1,328.43 BTC. Scilex credited the Datavault account at Binance with 1,309.04 BTC on Sept. 26, 2025, and Nov. 25, 2025, after deducting 19.39 BTC from a prior Scilex cash prepayment. The transfers were offchain: Binance adjusted balances internally and did not move tokens on the Bitcoin blockchain. From Sept. 26, 2025, to Jan. 30, 2026, Datavault sold 491.431 BTC back to Scilex in the same manner and received about $40.5 million in cash. After reviewing the transaction, Datavault concluded the bitcoin never met its accounting criteria for digital assets. It will book the transaction as a warrant receivable, meaning the buyer obligation for newly issued shares, and classify it as a reduction in equity. The $40.5 million in cash received will reduce Scilex debt. Datavault expects to reverse previously recognized gains and losses on the cryptocurrency. The restatements are expected to reduce total assets by $8.1 million as of Sept. 30, 2025; $92.2 million as of Dec. 31, 2025; $57.1 million as of March 31; and $49 million as of June 30. They cover the 2025 annual report and three quarterly reports filed between November 2025 and August 2026. Going concern is an accounting test of whether a business can keep operating and meet obligations. Datavault said recovery of amounts owed by Scilex is uncertain. It also cited risk factors including Scilex creditworthiness, reliance on third-party custodians, Nasdaq listing compliance and litigation or regulatory investigations tied to the restatement. On June 24, 2026, the same month Datavault sought the bitcoin withdrawal, Scilex signed a binding term sheet to buy 837 BTC held in the Datavault Binance wallet for $50 million, subject to a final agreement. Scilex agreed to pay $30 million upfront and $20 million in quarterly installments through Dec. 31, 2028. The deferred amount is payable at Scilex discretion in cash or Scilex securities. Those 837 BTC plus the 491.431 BTC bought back earlier total 1,328.43 BTC, the amount originally set in the agreement.

A large Bitcoin transfer moved 2,173 BTC worth $176,399,683 from an unknown wallet to Coinbase Institutional, according to blockchain tracker Whale Alert. The transaction was flagged as a notable institutional exchange deposit. The wallet owner and the purpose of the transfer were not disclosed.

Datavault AI said it cannot access its Bitcoin holdings, and its stock fell sharply. The disclosure puts focus on custody and operational access risks for public companies that hold BTC on their balance sheets.

Bitcoin fell 2.43% to near $80,500, a third straight weekly decline, as Brent crude rose 5.66% to $116.72 a barrel and U.S. spot Bitcoin ETFs logged $636 million in net outflows on Thursday. The Fed held rates at 3.75% to 4% on a 10 to 2 vote. Wintermute flags $120 oil as a key threshold and sees $76,000 next if BTC loses $80,000.

The Federal Reserve left interest rates unchanged, as widely expected, after raising them in September for the first time in more than three years. The decision was not unanimous: two of the 12 policymakers voted to raise the benchmark to 4%-4.25%. Following last month’s hike—the first since mid-2023—attention turned to September inflation data. Both CPI and PPI showed inflation remained a major concern. Expectations for another increase eased, with experts convinced that any move would come in December. The Fed cited stronger-than-expected economic activity in holding rates steady, saying: “Job gains have kept pace with the workforce, and the unemployment rate has changed little.” At a closely watched press conference, Chair Kevin Warsh warned that financial uncertainty and elevated inflation persist because of “geopolitical developments.” He stressed that the U.S. economy is “resilient” and that the committee will “deliver price stability.” “Americans, of course, are still dealing [with] inflation that has been running above the committee’s objective for close to six years,” Warsh said. “It’s our responsibility to get inflation down.” Asked why the Fed did not raise rates if it will raise them in December, Warsh said fighting inflation is not about a specific date or data point but about broader objectives and monetary policy strategy. He declined to respond to Trump’s comments that rates should be lowered, but reassured the public that “politics played no role” in the decision to pause rate hikes. Bitcoin held steady. On-chain signals had suggested BTC could fall after the Fed decision, but that has not happened so far. The cryptocurrency had a volatile session, rising from $79,500 to $81,700 before the meeting and dipping to $80,500 hours before the conclusion. It rebounded quickly above $81,000 after Warsh finished speaking. Other major macro developments through the end of the week could drive further price swings. The post Bitcoin Price Rebounds as Fed Chair Warsh Explains Rate-Hike Pause appeared first on CryptoPotato.

Bitcoin Core developers have disclosed three new vulnerabilities, one of which lets attackers remotely crash nodes running Windows, macOS or BSD by exhausting memory, while Linux nodes are unaffected. A second flaw gradually drains node memory, and a third may corrupt blockchain undo data. Node operators are advised to upgrade to the latest Bitcoin Core release.

The Federal Reserve kept rates unchanged, and Bitcoin traded flat. A December rate hike remains on the table.

Three Bitcoin Core vulnerabilities were disclosed, including one that lets malicious peers remotely crash nodes on Windows, macOS and BSD by exhausting memory. Linux nodes are unaffected. Another allows gradual memory exhaustion and a third could corrupt blockchain undo data. Fixes are in Bitcoin Core 29.5, 30.4, 31.2 and 32.1, though some configurations remain vulnerable to the third issue.