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MIAMI - American Bitcoin Corp. (NASDAQ:ABTC) began trading on the Nasdaq stock exchange Wednesday under the ticker symbol "ABTC" following the completion of its stock-for-stock merger with Gryphon Digital Mining, Inc. The stock is currently trading at $37.24, showing strong momentum with a 16.52% gain over the past six months, according to InvestingPro data.
The company describes itself as a Bitcoin accumulation platform that integrates Bitcoin mining operations with market purchasing strategies. American Bitcoin is a majority-owned subsidiary of Hut 8 Corp. (NASDAQ:HUT), which launched the company earlier this year. InvestingPro analysis reveals that while the company has achieved high returns over the last year, it currently faces challenges with weak gross profit margins and free cash flow yield. Subscribers can access 12+ additional financial health indicators on InvestingPro.
"Today, American Bitcoin becomes a premier public vehicle for investors seeking scalable, singular exposure to the defining asset class of our time," said Eric Trump, Co-founder and Chief Strategy Officer of American Bitcoin, in a press release statement.
The company’s business model combines self-mining operations and opportunistic Bitcoin purchases, which it claims provides flexibility to respond to market conditions. Through its partnership with Hut 8, American Bitcoin utilizes ASIC technology and leverages Hut 8’s colocation infrastructure platform to mine Bitcoin.
Donald Trump Jr., a stockholder of American Bitcoin, and Asher Genoot, Executive Chairman of American Bitcoin and CEO of Hut 8 Corp., also provided statements in the announcement about the company’s mission and strategy.
American Bitcoin states its objective is to maximize Bitcoin holdings per share through efficient accumulation strategies. The company aims to benefit from mining Bitcoin at what it describes as "a discount to market price" compared to accumulation vehicles without integrated mining operations.
The announcement contains forward-looking statements regarding the company’s Bitcoin accumulation strategy and relationship with Hut 8, noting these are subject to risks including Bitcoin price volatility, competition, and technological uncertainties. The stock currently trades between its 52-week range of $27.24 to $40.49, with detailed risk metrics and valuation analysis available on InvestingPro.
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