A banner (designed by artists Stacey Coon, Anastasia Sultzer, and Nanu Berks) with the logo of bitcoin is seen during the crypto-currency conference Bitcoin 2021 Convention at the Mana Convention Center in Miami, Florida, on June 4, 2021. (Photo by MARCO BELLO/AFP via Getty Images)
AFP via Getty Images
American Bitcoin Corp (NASDAQ: ABTC) experienced a 15% increase during Friday’s trading, elevating its market capitalization to approximately $6.6 billion. The recently listed cryptocurrency company provides unique exposure to Bitcoin and boasts high-profile supporters, including the Trump family. The public listing followed an all-stock merger with Gryphon Digital Mining in early September 2025, a deal that formed a new combined entity and facilitated its Nasdaq listing without a conventional IPO process, a method that is gaining popularity among digital asset firms aiming for swift entry and reduced regulatory hurdles. Investor interest in cryptocurrency-related stocks has been growing as the U.S. accelerates crypto-related legislation to foster the industry’s growth under the Trump administration.
Hybrid Strategy, Big Backing
The merger resulted in a combined entity with enhanced Bitcoin mining capability and a unique approach centered on disciplined Bitcoin accumulation. By merging Gryphon’s mining capabilities with American Bitcoin’s accumulation strategy, the company seeks to optimize Bitcoin per share at a discounted structural cost compared to purely purchase-based models. In contrast to MicroStrategy, which depends solely on treasury acquisitions, or mining firms like Riot and Marathon, ABTC integrates both strategies into a single traded entity.
This hybrid strategy may provide ABTC with a relative advantage, allowing it to generate Bitcoin organically while also opportunistically increasing reserves during market downturns, thus offering a combination of yield and leverage that competitors may find difficult to duplicate. This flexible approach might enable ABTC to efficiently produce Bitcoin through mining while strategically increasing its reserves when the market declines, potentially reducing volatility.
The venture also enjoys prominent support. Eric Trump acts as co-founder and Chief Strategic Officer, with Donald Trump Jr. also participating, while Hut 8 Mining holds 80% ownership in the company, providing essential infrastructure and energy resources. Hut 8’s involvement grants ABTC immediate scalability, cost-effective energy access, and technical expertise, while the Trump family association should enhance retail visibility.
The convergence of institutional support and political visibility could assist ABTC in attracting investment from both Wall Street and Main Street. The company has also initiated a recent $2.1 billion at-the-market equity raise, underscoring its ambitious growth objectives. In a capital-heavy industry where access to financing often dictates survival, this equity raise indicates confidence and equips the company with a financial reserve to contend with larger competitors. ABTC’s $2.1 billion share offering aims to augment its Bitcoin holdings, which currently total roughly 2,443 coins (valued at about $160 million).
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Risks: Valuation, Volatility, and Competitive Pressures
Should Bitcoin prices increase, ABTC’s model could enhance Bitcoin-per-share growth, and these assets frequently trade at a premium over the intrinsic value of the Bitcoin they possess. Nevertheless, investors must proceed with caution. The company’s success is closely tied to Bitcoin’s price, which remains highly unstable. Additionally, with the cryptocurrency soaring nearly 6 times from the lows observed in 2022 and by almost 2 times over the previous year, there’s a chance we might be nearing a short-term peak.
The valuation already reflects a substantial premium to current Bitcoin holdings, making effective execution of the mining and accumulation strategy crucial. The competitive landscape in mining is fierce, with continual advancements in hardware and efficiency—firms that cannot keep pace risk swift unprofitability. Overall, while ABTC offers a bold, Trump-backed, institutional-quality trajectory to engage with Bitcoin, it is likely best considered a speculative growth opportunity that may appeal to those looking for enhanced Bitcoin exposure.
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