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Bitcoin treasury holder CIMG seeks capital after cash shortfall

CIMG reported a $7.38 million working-capital deficit, leaving it dependent on new equity or debt despite holding 1,145.4 BTC valued at $67.19 million as of June 30.

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Bitcoin treasury holder CIMG Inc. said in its Aug. 13 quarterly filing that it needs to raise capital immediately, even though it reported 1,145.4 BTC valued at $67.19 million as of June 30.

CIMG reported cash of $5,397 and current assets of $1.87 million against current liabilities of $9.25 million, leaving a $7.38 million working-capital deficit and raising concerns about its ability to continue as a going concern. The company said it may monetize its Bitcoin, but warned the asset is volatile and that its holdings are not committed or assured financing.

The filing describes that CIMG’s Singapore subsidiary self-custodies the coins in segregated Safe Wallet addresses under a 3-of-3 multisignature structure, with the CEO, CFO, and a director each holding separate credentials. It said all signers must approve transfers, and if one is unavailable, moving coins could be delayed or prevented.

CIMG also disclosed that its later 10-Q says the coins may be monetized, but it did not name a third-party custodian or cold storage, and it did not disclose Bitcoin insurance or independent third-party verification of the holdings. The company’s loss attributable to CIMG widened to $10.49 million for the June quarter and $45.36 million for the nine-month period, and operations used $10.35 million of cash over those nine months.

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