K Wave Media Risks Nasdaq Exit After Shares Slip Below $1 for 60+ Days
Bitcoin treasury management firm K Wave Media is in a tight spot after its share price plummeted below Nasdaq's minimum listing...
Quick overview
- K Wave Media's share price has fallen below Nasdaq's $1 minimum bid requirement, putting the company at risk of delisting.
- The firm has been granted a 180-day grace period to regain compliance and avoid suspension from the exchange.
- K Wave Media's ambitious Bitcoin treasury strategy, which involves a $1 billion investment, has not yet stabilized its share price.
- The company's performance is being compared to Japan's Metaplanet, which has successfully implemented a similar Bitcoin accumulation strategy.
Bitcoin treasury management firm K Wave Media is in a tight spot after its share price plummeted below Nasdaq’s minimum listing threshold, leaving the company at real risk of delisting. The warning from regulators highlights the growing tension between the crazy-aggressive Bitcoin-focused treasury strategies and the strict compliance rules that U.S. public markets demand.
Nasdaq issued a formal warning after K Wave Media’s stock traded at or below the required $ 1 bid price for a prolonged period, from late November 2025 through January 2026. While this warning doesn’t instantly kick the company off the exchange, it sets K Wave Media on a tight timeline to regain investor trust and get back on track with compliance.
Nasdaq Flags Falling Share Price
One of Nasdaq’s rules for listed companies is a minimum closing bid price of $1 per share. K Wave Media failed to meet that benchmark for more than 30 consecutive days, prompting a serious regulatory review.
The company has been given a bit of a break – a 180-day grace period to fix the problem. If, during that time, the stock closes at or above $1 for at least 10 consecutive days, Nasdaq will make an effort to confirm that K Wave Media remains eligible for listing.
The following are some key points to take away from the warning:
- No immediate suspension or delisting
- Trading can continue to happen using the existing ticker symbol
- There’s a possibility of getting a 2nd 180 day extension
But if K Wave Media can’t turn things around in the initial period, the company could still end up getting delisted – although a second chance might be available if it meets all the broader capital requirements.
A $1 Billion Bitcoin Treasury Bet
It’s only been a few months since K Wave Media unveiled this ambitious Bitcoin treasury strategy, which has put the company back in the headlines. Back in July, they disclosed that they had secured up to $1 billion in funding – most of which they’re using to build up their BTC reserve.
The financing deal included a $500 million convertible note agreement with Anson Funds. Under the strategy, K Wave Media is committing to allocate at least 80% of its net proceeds to buying Bitcoin, which puts it in line with a growing number of companies using BTC as a long-term treasury asset.
This approach was an effort to turn K Wave Media into a more digital-asset-focused investment vehicle, rather than just a traditional media business – and at first, it got some attention from the market. But so far, it hasn’t delivered the sustained share price stability that K Wave Media was hoping for.
‘Metaplanet of Korea’ Narrative Is Being Put to the Test
K Wave Media has been frequently compared to Japan’s Metaplanet – a company that saw its stock surge after adopting a similar Bitcoin accumulation strategy. Metaplanet’s expansion has been aggressive, including shareholder-approved fundraising plans that have driven strong returns and ambitious goals to hold 100,000 BTC by the end of 2026. In fact, Metaplanet’s current BTC holdings have already hit 35,000.
In contrast, K Wave Media’s share price has been struggling to remain stable, raising questions about whether a Bitcoin-heavy balance sheet is enough on its own to offset execution risk, dilution concerns, and market volatility.
As the clock ticks, K Wave Media’s challenge is clear: prove that its Bitcoin-heavy balance sheet can support not just a long-term vision but also near-term market discipline.
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