French Chipmaker Sequans Dumps Half Its Bitcoin as Treasury Hype Meets Reality

Paris-based chipmaker Sequans Communications liquidated 1,025 Bitcoin during the archetypal 4th of 2026, astir halving its crypto reserves arsenic gross collapsed and losses mounted.

The semiconductor manufacturer's Bitcoin holdings fell from 2,139 BTC astatine year-end 2025 to 1,114 BTC by April's close, according to a Q1 net report, with the merchantability generating captious liquidity arsenic the institution posted a $54.3 cardinal nett loss—or $3.73 per diluted ADS—compared to $7.3 cardinal a twelvemonth earlier.

The quarterly harm included $29.3 cardinal successful unrealized Bitcoin impairment losses and $11.7 cardinal successful realized losses from the plus sales, according to fiscal filings.

Revenue deterioration drove the distressed sale, with full income dropping to $6.1 cardinal contempt a 45% leap successful merchandise sales. Gross margins compressed to 37.7% from 64.5% arsenic lower-margin hardware displaced lucrative licensing deals. The institution has pledged 817 of its remaining Bitcoin arsenic collateral for $35.9 cardinal successful outstanding convertible notes, leaving minimal flexibility successful its crypto treasury.

"We person taken decisive steps to simplify and fortify our equilibrium sheet," said Sequans CEO Dr. Georges Karam, successful a statement.

Sequans (SQNS) shares person fallen astir 42% implicit the past six months to precocious commercialized astatine $3.43, per information from Yahoo Finance, with the Nasdaq-listed banal reflecting deepening capitalist skepticism astir the company's trajectory. SQNS shares are down 2.5% connected the day.

The forced liquidation mirrors unit crossed firm Bitcoin holders, with immoderate companies rethinking their plans aft a unreserved towards crypto treasuries amid past year’s marketplace boom, portion different longer-running Bitcoin holders person lessened their vulnerability amid concern challenges.

MARA Holdings, the largest nationalist Bitcoin miner by BTC held, expanded its treasury argumentation successful 2026 to licence selling accumulated reserves aft signaling a $422.2 cardinal just worth alteration connected its 53,822 BTC holdings past year. The miner has started selling its holdings alongside a caller circular of layoffs. Other Bitcoin mining firms that person sold disconnected BTC holdings successful caller months see Riot Platforms, Hut 8, and Cango.

Publicly traded Bitcoin treasury steadfast Nakamoto Holdings said successful March that it sold disconnected portion of its BTC holdings arsenic its stock terms deed a caller low. Just this week, South Korean amusement steadfast K Wave Media said it would divert $485 cardinal successful funding earmarked for its Bitcoin treasury strategy to alternatively pivot towards AI infrastructure.

Sequans began accumulating Bitcoin successful July 2025 arsenic portion of a treasury diversification strategy that Karam erstwhile positioned arsenic a "long-term store of worth for our shareholders." Last August, it revealed a program to sell up to $200 million worthy of shares to substance Bitcoin buys.

The latest merchantability marks the 2nd large liquidation successful six months. Sequans antecedently sold 970 BTC successful November 2025, reducing holdings from 3,234 to 2,264 Bitcoin to redeem $94.5 cardinal successful convertible debt. Karam characterized that transaction arsenic a "tactical decision" astatine the time.

The chipmaker's remaining indebtedness matures June 1, aft which each Bitcoin holdings go unrestricted and disposable for imaginable liquidation.

Bitcoin plunged successful terms earlier this year, falling adjacent to $60,000 aft peaking supra $126,000 past October. It has ticked up since those caller lows, however, topping the $81,000 people aboriginal Tuesday for the archetypal clip since January.

Users connected Myriad—a prediction marketplace level operated by Decrypt's genitor company, Dastan—believe that Bitcoin volition proceed to rise, penciling a roughly 86% chance that its adjacent halt is simply a emergence to $84,000 alternatively than a driblet to $55,000. Those likelihood person improved 16% implicit the past week.