Datavault AI says Bitcoin withdrawal remains incomplete, plans financial restatements

Datavault AI said it has been unable to complete a requested Bitcoin withdrawal from its Biconomy wallet since June 2026, according to an October 26 Form 8-K.

The company also said its audit committee and management determined that four previously issued sets of financial statements should no longer be relied upon. Datavault AI plans to restate them after concluding that Bitcoin associated with its Scilex equity transaction was accounted for incorrectly.

The filing links the wallet-access issue and the accounting review to a broader reassessment of the company’s reported assets and going-concern conclusions. The company provided preliminary estimates of material asset reductions across several reporting dates.

Bitcoin associated with Scilex transaction

Datavault AI said it requested a withdrawal from its Biconomy wallet in June 2026 but had not been able to complete the transaction as of the October 26 filing.

Following its review, the company determined that Bitcoin connected to its $150 million Scilex equity purchase should not have been recognized as a company digital asset. Instead, it said the amount should be accounted for as a subscription receivable and a reduction of stockholders’ equity.

The disclosure does not establish why the withdrawal could not be completed. It does establish that the inability to complete it was part of the circumstances considered in the company’s accounting assessment.

Prior financial statements will be restated

Datavault AI said its audit committee and management concluded that four sets of previously issued financial statements should no longer be relied upon. The company expects to amend the affected filings and restate the financial information.

The preliminary impact is a reduction in total assets at each of the cited reporting dates. The largest indicated reduction is $92.2 million as of December 31, 2025.

The matter underscores how custody and control questions can affect the accounting treatment of digital-asset-related transactions. It also follows continued industry attention to operational risks around crypto holdings, including the security issues discussed in Chainalysis Says AI Helped Trace $387M Bitget Theft Across Blockchains.

• $8.1 million reduction in total assets as of September 30, 2025
• $92.2 million reduction in total assets as of December 31, 2025
• $57.1 million reduction in total assets as of March 31, 2026
• $49.0 million reduction in total assets as of June 30, 2026

Going-concern review remains in progress

Management is reassessing the going-concern conclusions included in the affected financial statements, the company said. A going-concern evaluation addresses whether there is substantial doubt about an entity’s ability to continue operating over the relevant assessment period.

The filing describes the asset figures as preliminary, meaning the final restatement amounts could change as the company completes its review. Datavault AI did not provide a completion date for amended filings in the supplied disclosure.

CoinDesk separately reported that Datavault AI shares fell nearly 50% on October 27. That market move was reported by CoinDesk and is separate from the company’s accounting conclusions in its Form 8-K. The case also highlights why disclosures concerning digital-asset systems and related risks remain relevant, as reflected in Bitcoin Core adopts faster disclosure policy for AI-findable vulnerabilities.

Continue reading: Chainalysis Says AI Helped Trace $387M Bitget Theft Across Blockchains on BTCNews.

Continue reading: Bitcoin Core adopts faster disclosure policy for AI-findable vulnerabilities on BTCNews.

Sources

• Datavault AI Inc.: October 26, 2026 – 8-K: Current report
• CoinDesk: Bitcoin treasury stock plunges 50% after firm says it can’t access its BTC

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