🚨 Datavault AI Can't Withdraw Bitcoin From Biconomy
Datavault AI (NASDAQ: DVLT) has disclosed that it has been unable to withdraw Bitcoin from its Biconomy account since June 2026, raising serious questions about crypto custody and corporate asset management.
📌 What happened?
• The issue is linked to a $150 million securities deal with Scilex Holding, paid in Bitcoin.
• Datavault reported that 1,309.04 BTC had been credited to its Biconomy account through off-chain transfers.
• The company later sold approximately 491.43 BTC back to Scilex for around $40.5 million in cash.
• In its October 26 SEC filing, Datavault said the withdrawal remained incomplete and that several previous financial statements should no longer be relied upon.
• The accounting correction could reduce reported assets by $92.2 million as of December 2025.
📉 Why does this matter?
The case highlights an important distinction: a cryptocurrency balance recorded inside an exchange is not necessarily the same as independently verified, accessible Bitcoin on the blockchain.
Datavault has not publicly explained why the withdrawal failed, and Biconomy had not responded to media inquiries at the time of reporting. The disclosure does not establish that the Bitcoin has been permanently lost.
🔎 The key takeaway: Crypto custody, verifiable ownership, withdrawal access, and transparent accounting are critical for both companies and individual investors.
Source: Datavault AI's October 26, 2026 SEC filing and CoinDesk's October 28 report.
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