In a striking turn of events, Windtree Therapeutics, a biotech firm based in Pennsylvania, has been officially delisted from Nasdaq just over a month after attempting a dramatic pivot into digital assets with a $700 million commitment to Binance’s BNB token. Despite the bold move, the company’s stock plummeted 77% in a single day, trading at just $0.11 before Nasdaq suspended trading Thursday morning. The delisting comes after Windtree failed to maintain the exchange’s $1 minimum bid requirement, according to an SEC filing released Tuesday.
A Desperate Pivot into Crypto.
Windtree, originally a pharmaceutical company focused on critical care drugs, made headlines last month when it announced a strategic shift to become a digital asset treasury (DAT) firm. The centerpiece of that plan: investing up to $700 million into Binance Coin (BNB) just as the token reached a new all-time high. Unfortunately for Windtree, the move was not enough to restore investor confidence or meet Nasdaq’s listing standards. The stock had briefly regained compliance in March, but lost momentum as crypto markets began to cool over the past several weeks.
Not an Isolated Incident.
Windtree isn’t the only firm feeling the pressure. Other public companies with crypto-related treasuries like KindlyMD, SharpLink, and even crypto stalwarts like Coinbase have seen shares falter amid a broader pullback in the market. Strategy, the digital treasury led by Bitcoin bull Michael Saylor, hit a four-month low on Wednesday. Windtree will now trade over-the-counter (OTC) under the same ticker, WINT. OTC markets are less regulated and offer lower visibility and liquidity compared to major exchanges like Nasdaq.
Analysts: The DAT Model Isn’t for Everyone.
According to Ryan Yoon, senior analyst at Tiger Research, the Digital Asset Treasury model poses serious challenges for distressed companies.Net Asset Value, measures the value of a company’s assets minus its liabilities. When companies heavily invest in volatile assets like crypto without a solid operational framework, NAV premiums are often short-lived leading to what Yoon calls a “reverse flywheel”:
Asset decline → Forced liquidation → Further decline. Yoon highlighted Michael Saylor’s Strategy as a unique example of a firm with a compelling crypto narrative and execution strategy. But he warned that many struggling companies try to replicate the story without the substance.
The Takeaway.
Windtree’s failed transformation into a crypto treasury is a cautionary tale for distressed public companies eyeing digital assets as a lifeline. While the crypto market continues to attract institutional interest, success in the space requires more than bold headlines and big investments it demands credibility, infrastructure, and investor trust. As Windtree slips into the OTC shadows, the message is clear: Not every company can crypto its way out of trouble.
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