Two Nasdaq-listed companies are reversing course on corporate crypto treasury strategies after suffering substantial unrealized losses, highlighting the risks of holding digital assets on balance sheets for non-crypto-native firms.
AIXC is exiting its digital asset treasury entirely. The company plans to gradually liquidate its cryptocurrency holdings and refocus on its core robot leasing and operations business, according to CryptoSlate. At the end of the second quarter, AIXC held 46 BTC, 616 ETH, 6,659 SOL and 1,308 BNB, along with smaller amounts of ADA, LINK, TRX, USDT and XRP. The company was sitting on an unrealized loss of approximately 50% on those holdings. The gradual liquidation is designed to minimize market impact, but it signals that AIXC no longer views crypto as a strategic asset class for its treasury.
Cosmos Health issued a going-concern warning. The Nasdaq-listed company said recurring losses and reliance on outside financing raised substantial doubt about its ability to continue over the next 12 months. Its crypto treasury was down about 46% at the end of June. Cosmos held 474.85 ETH and 15.66 BTC worth a combined $1.66 million against a $3.1 million cost basis, leaving roughly $1.44 million in unrealized losses. Ethereum accounted for $1.25 million, or 87%, of the shortfall.
The holdings stem from an August 2025 financing agreement with ATW Digital Asset Opportunities VII that allowed Cosmos to issue up to $300 million of senior secured convertible notes. Cosmos initially issued an $8 million note carrying a $720,000 original-issue discount and 9% annual interest, while recording $736,250 of direct issuance costs and fees. Under the agreement, Cosmos was required to direct 72.5% of net note proceeds into crypto, with the remainder available for working capital and general corporate purposes. The company later disclosed it used about $3.1 million to buy Ethereum and Bitcoin and about $1.8 million for working capital. As of June 30, another $644,219 remained restricted for future crypto purchases, and the assets bought with note proceeds are subject to collateral and custody arrangements securing the financing.
Cosmos Health's underlying business continues to consume cash. It reported an $8.89 million net loss and used $2.79 million in operating cash during the first half. The company ended June with $1.80 million of unrestricted cash and said revenue remained insufficient to fund operating expenses and meet debt obligations as they come due. The convertible note has also driven substantial dilution: Cosmos issued 22.9 million shares during the first half through conversions, settling about $4.52 million of principal and interest. After the quarter, another 20.48 million shares were issued to satisfy $3.69 million of obligations, leaving just $82,500 of principal outstanding. The outstanding share count rose from 41.07 million at the end of 2025 to roughly 100.6 million by August 18.
Together, the two cases illustrate how corporate crypto adoption can create balance-sheet volatility, especially when digital asset purchases are tied to financing structures or when core operations remain unprofitable.
