ZOOZ Strategy has been placed on a Nasdaq compliance clock after the exchange warned that its shares no longer meet the $1 minimum bid-price requirement, putting the company at risk of delisting if the price does not recover within six months.
The notice makes ZOOZ the latest Bitcoin (CRYPTO:BTC)-focused treasury company to run up against Nasdaq’s listing standards as volatility continues to weigh on crypto-linked equities.
In a statement issued on Monday, the dual-listed firm, which trades on both Nasdaq and the Tel Aviv Stock Exchange, said it is monitoring the situation closely and may consider corporate actions, including a reverse share split, if necessary.
A reverse share split would reduce the number of outstanding shares while proportionally increasing the share price, a move commonly used to restore compliance without altering overall market capitalisation.
ZOOZ is built around a long-term Bitcoin treasury strategy and has accumulated 1,036 BTC as a strategic reserve, offering shareholders indirect exposure to Bitcoin’s price movements.
That positioning helped the company attract attention at launch earlier this year, but it has not prevented the stock from falling below the $1 threshold amid broader market pressures.
Under Nasdaq rules, the company has until June 15, 2026, to record a closing bid price of at least $1 for ten consecutive trading days to regain compliance.
ZOOZ could qualify for an additional grace period if it satisfies other listing requirements, meaning the notice does not trigger an immediate delisting.
The company said its day-to-day operations remain unaffected, but acknowledged that it may need to pursue “available options” to address the deficiency.
The warning comes as Bitcoin treasury strategies gain traction, with the top 100 such companies collectively holding more than one million BTC.
Data shows the number of public companies holding Bitcoin increased by 38% between July and September, reflecting deepening institutional adoption.
Market analysts have argued that growing accumulation by corporate treasuries could exert upward pressure on Bitcoin prices over time.
ZOOZ’s situation follows a similar disclosure by KindlyMD, another Bitcoin treasury firm formed through a merger with David Bailey’s Nakamoto holding company, after its shares also slipped below $1.
Nasdaq listing pressure has extended beyond pure Bitcoin treasuries, with Digital Currency X Technology recently receiving a non-compliance notice linked to minimum market-value requirements.
Not all Bitcoin-focused firms are struggling, as Tokyo-listed Metaplanet has continued to raise capital through new share issuances and Bitcoin-linked dividend instruments aimed at institutional investors.
Strategy, the largest corporate holder of Bitcoin, has also continued adding to its reserves, purchasing around $980 million worth of BTC in mid-December and lifting its total holdings to more than 671,000 coins.
At the time of reporting, Bitcoin price was $87,836.60