A Nasdaq Company Just Cleared the Sale of Its 5,833 Bitcoin, Citing Quantum Risk. Is That a Real Reason to Sell BTC? - 24/7 Wall St.

The board of Next Technology Holding approved a plan to sell or pledge approximately 5,833 Bitcoin on October 30, 2026. The company stated that the goal is to lower its Bitcoin exposure and increase liquidity.

The board listed a recent hack on Binance and quantum computing risk as reasons for this decision. After the announcement, Next Technology shares rose by 6.5%, reaching $5.11 on the same day.

Bitcoin, however, closed that day at $77,223, its lowest close in 30 days. This price action suggests the broader market is reacting to the hack rather than the theoretical threat of quantum computing.

No Sales Yet

Despite the board’s approval, Next Technology has not sold any Bitcoin yet. The company said it cannot guarantee any transactions will occur and that it does not hold its Bitcoin on Binance.

Placing Bitcoin as collateral, or “pledging,” would let the company borrow funds while retaining ownership of its Bitcoin. However, Next Technology did not disclose details on potential buyers, lenders, pricing, batch sizes, timing, or how it might use the proceeds.

This current decision marks a shift from Next Technology’s previous strategy. In SEC filings, the company reported an increase in holdings to 5,833 BTC as of June 30, 2025, up from 833 Bitcoin at the end of December 2024.

Financial Motives

The company partly funded the acquisition of these additional coins by issuing 135,171,078 common shares. It initially planned to continue purchasing Bitcoin, but the recent board decision signals a change in that plan.

At $77,562 per Bitcoin as of October 31, Next Technology’s Bitcoin holdings are worth about $452.4 million. Given the company’s total market value is only about $7.5 million, this suggests investors value the firm well below its Bitcoin holdings.

A sale of this size would likely affect Next Technology’s shareholders more than the broader market. Given that Next Technology is a smaller company on the Nasdaq, its moves do not necessarily reflect trends among larger corporate Bitcoin holders.

In the broader context, 5,833 BTC represents roughly 0.7% of one day’s Bitcoin trading volume. So, even if the company sells its entire stake in several batches, it would not significantly affect the daily market.

Quantum Risk Debate

Bitcoin transactions rely on ECDSA, a digital signature method that ensures owners control their coins. Theoretically, a sufficiently advanced quantum computer could derive a private key from a public key.

This risk arises when public keys are exposed on the blockchain, particularly through reused addresses or older address types, while coins stored in fresh addresses reveal the key only upon spending. Developers are already taking action to address this issue.

One such solution is BIP-360, a draft soft fork, meaning a backward-compatible upgrade, that adds a new output type built to resist “long exposure attacks.” Its authors say protecting keys while a transaction waits to confirm “may require the introduction of post-quantum signatures” later on.

The proposal is still in draft form and lacks a set activation date. Companies are also preparing for this risk by enhancing their security systems. For instance, during Coinbase’s earnings call on October 29, CEO Brian Armstrong noted that the company has begun upgrading its custody solutions to be quantum-resistant.

Meanwhile, Strategy Inc. held 848,517 BTC as of October 25, valued at about $65.8 billion at $77,562 per Bitcoin. It has sold $431.8 million of Bitcoin in 2026 for dividends and STRC buybacks, but not due to quantum computing concerns.

Additionally, on October 31, Adam Livingston from Strive highlighted that his company holds $3.3 billion in Bitcoin against $2.1 billion in preferred stock. The lack of similar moves by major holders suggests quantum risk is not the primary driver of recent selling.

Is Quantum Risk a Valid Reason to Sell?

No, it isn’t. While quantum computing poses a legitimate long-term challenge, it doesn’t explain the recent 3.6% decline in Bitcoin’s value during the week leading up to October 31.

With Bitcoin trading at $77,562, down 38.5% from its all-time high, recent price moves are more closely tied to the Binance hack. Any holder who sold Bitcoin based on Next Technology’s announcement would likely find themselves exiting near a 30-day low over a risk developers are actively addressing.

Next Technology’s decision seems to reflect the company’s financial needs more than genuine concerns about quantum risk affecting Bitcoin overall. Our perspective could change if larger holders referenced quantum risk in their selling decisions or if discussions around BIP-360 stalled while advances in quantum technology continue.

The next important indicator will be a filing from Next Technology showing the completion of a sale along with the details of that transaction.