Sequans Communications, a French firm that adopted Bitcoin (BTC) as a monetary asset following the mannequin of Michael Saylor (founding father of Technique), has offered over 2,000 BTC.
The corporate introduced its monetary outcomes for the primary quarter of 2026 right this moment, Could fifth, and revealed that its holdings had decreased to 1,114 BTC. This equates to a sale of two,120 BTC since liquidation of the coin started final November..
Sequans accrued as much as 3,234 BTC, however was pressured to promote a few of its digital belongings because of a pointy decline in working revenue. The corporate reported preliminary unaudited income of simply $6.1 million for the quarter, down 12% from the earlier quarter and down 24% from the identical interval in 2025.
This operational weak point That is $50 million in losses within the first three months of this 12 months.. Of those, 29 million characterize impairment fees on Bitcoin holdings (accounting losses because of value declines with out being offered), and the remaining 11 million replicate losses from precise gross sales. Within the face of this strain, the corporate prioritized liquidity over a long-term technique with Bitcoin.
Of the 1,114 BTC it nonetheless holds, 817 bits have been pledged (or pledged) as collateral for the remaining $35.9 million in convertible debt. In keeping with the report itself, this debt is scheduled to be amortized by June 1, 2026, from which level Remaining Bitcoins haven’t any restrictions and might be offered.
This massive-scale liquidation comes amid wild fluctuations in Bitcoin costs, which hit an all-time excessive of $126,000 in October 2025 earlier than plummeting by greater than 50%, reaching $60,000 in February 2026. Presently, its value is roughly $81,000. As reported by CriptoNoticias, this fall, the monetary state of affairs of Secans, which had adopted the “Michael Saylor Technique” of accumulating Bitcoin by June 2025, deteriorated.
Its affect can be mirrored within the inventory market. The corporate’s inventory value fell 81% final 12 months. After first asserting its dedication to Bitcoin, the title’s value reached practically $50; Since then, it has returned to a downward development and is at present buying and selling round $3.5..
The Sequins case reopens the controversy in regards to the precise viability of company finance methods in Bitcoin, which are sometimes offered as a “common recipe.”
Whereas corporations like Technique thrive in adversity, Sequans Compelled to promote because of structural operational points. Moreover, the excessive proportion of collateralized BTC provides further danger. A brand new drop in costs may severely worsen our monetary state of affairs.
In the end, Sequans went from the pioneering instance of Bitcoin adoption in Europe to illustrating the vulnerability of this technique if the underlying enterprise doesn’t generate adequate money circulate. Though the corporate nonetheless maintains place in BTC, the gross sales it has undertaken and the excessive proportion of cash in collateral make it clear that enterprise survival and debt administration are extra of a precedence than Bitcoin accumulation at this level.
