ZeroStack's Crypto Stash Collapses by $148M, Forces Company to Stake Survival

ZeroStack's financial situation is precarious after its crypto stash plummeted from $163.4 million to just $15.2 million, forcing the company to rely on token rewards for liquidity.

The company's June 30 digital assets had a cost basis of $163.3 million and a fair value of $15.17 million. ZeroStack ended the month with $2.6 million in cash and negative working capital of $600,000.

Management plans to fund operations mainly by selling staking rewards from its 75.1 million 0G tokens, but it couldn't conclude that its plans would alleviate substantial doubt about the company's ability to continue as a going concern.