South Korea's Bitcoin treasury strategy faces setbacks, with a certain exchange's stock price plunging 88% from its peak

According to ChainCatcher, in 2025, several small listed companies in South Korea are scrambling to replicate Strategy's bitcoin treasury model, purchasing bitcoin with borrowed funds. Now, this strategy has encountered setbacks, with Bitmax serving as a typical example.

Last year, Bitmax shifted its focus to bitcoin, holding 551 BTC at an acquisition cost of approximately $55 million. Of these, 539 BTC were obtained through 13 over-the-counter transactions with the chairman, with a total premium of about $6 million. Due to losses, the company announced on March 9 a capital reduction by consolidating four shares into one, causing paid-in capital to plummet from $14.5 million to $3.6 million. The stock price plunged more than 10% the next day to around $0.63.

The gap with Strategy is obvious: over the past year, bitcoin has only dropped 12%, Strategy fell about 70%, while Bitmax plummeted 88%. Moreover, Bitmax failed to rebound alongside BTC, indicating that the market has priced in company-specific risks. Analysis points out that in the absence of scale, capital market channels, and institutional credibility, this model carries risks far greater than its potential returns.