The massive share issuance at a de minimis price signals acute capital needs. The leak-out restriction caps selling to 8% of prior month's volume, but given the tiny market cap, even that could overwhelm trading. Monitor for additional capital raises or reverse stock splits, as the company's equity base has been severely diluted.
Price Chart
Executive Summary
The Crypto Company issued 97,165,533 shares of common stock to James Smittkamp and Three Mile Creek Future LLC (an entity controlled by the company's Chief Strategy Officer) for a total of $75,000 ($65,000 cash + 3.4683 ETH). The issuance represents massive dilution at an implied price of approximately $0.00077 per share, with the shares subject to leak-out restrictions limiting monthly sales to 8% of prior month's trading volume.
Key Financial Metrics
Key Facts
- 97,165,533 shares issued for $75,000 total consideration ($65,000 cash + 3.4683 ETH)
- Implied price per share of approximately $0.00077
- Investors include James Smittkamp and Three Mile Creek Future LLC (managed by CSO Rafael Furst)
- Shares subject to leak-out restriction: max 8% of prior month's trading volume per month
- Private placement exempt under Rule 506(b) of Regulation D
Financial Impact
Extreme dilution: 97.2M shares issued for $75K, implying a per-share price of ~$0.00077. The number of shares issued likely exceeds the pre-existing float by a large multiple, though exact outstanding share count is not disclosed.
Risk Factors
- Extreme shareholder dilution from issuance of 97M+ shares for only $75K
- Insider involvement: CSO's entity is an investor, raising governance concerns
- Potential for further dilutive financing given the company's apparent cash constraints
- Leak-out restrictions may not prevent significant downward price pressure from eventual resales
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001493152-26-047260 |
| Document: form8-k.htm | 0001493152-26-047260 |
| Document: 0001493152-26-047260-index-headers.html | 0001493152-26-047260 |
| Document: 0001493152-26-047260-index.html | 0001493152-26-047260 |
| Document: 0001493152-26-047260.txt | 0001493152-26-047260 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 15, 2026 11d ago | 8-K | $0.001000 | awaiting T+60 | — | $0.000700 (+30.00%) |
Sep 30, 2026 26d ago | 8-K | $0.001000 | awaiting T+60 | — | $0.000700 (−30.00%) |
Sep 24, 2026 4w ago | 8-K | $0.001000 | awaiting T+60 | — | $0.000700 (+30.00%) |
Jun 24, 2026 17w ago | 10-K/A | $0.001000 $0.001000 | · 0.00% | ▲ +3.85% | $0.000700 (+30.00%) |
Jun 24, 2026 17w ago | 8-K | $0.001000 $0.001000 | · 0.00% | ▲ +3.85% | $0.000700 (+30.00%) |
Jun 11, 2026 19w ago | 8-K | $0.001000 $0.000900 | ▲ +10.00% | ▲ +13.53% | $0.000700 (+30.00%) |
May 15, 2026 23w ago | 8-K | $0.002000 $0.000800 | ▲ +60.00% | ▲ +64.85% | $0.000700 (+65.00%) |
Apr 28, 2026 25w ago | 8-K | $0.001000 $0.000900 | ▲ +10.00% | ▲ +14.11% | $0.000700 (+30.00%) |
Mar 5, 2026 33w ago | 8-K | $0.001000 $0.002000 | ▼ −100.00% | ▼ −87.22% | $0.000700 (+30.00%) |
US Market Status
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