SkyAI, a Nasdaq-listed cryptocurrency treasury company, has reduced its Solana holdings by approximately 70% in less than a month, prompting demands for greater transparency from one of its largest shareholders. The company disclosed that it held approximately 600,000 SOL in an October 13, 2026, filing with the US Securities and Exchange Commission, compared with more than 2 million SOL reported on September 14. The reduction represents at least 1.4 million SOL, raising questions about the company’s shift from cryptocurrency accumulation toward liquidating assets to finance shareholder distributions.
On October 14, Bastion Trading, which owns approximately 9.99% of SkyAI’s outstanding common shares alongside affiliates, challenged the company’s proposed $201 million tender offer and demanded a detailed accounting of the transactions. The dispute comes as cryptocurrency treasury companies face increasing pressure to demonstrate shareholder value amid volatile digital asset prices and declining equity valuations.
Treasury Falls From 2 Million to 600,000 SOL
SkyAI reaffirmed its commitment to its Solana treasury strategy on September 14, reporting holdings exceeding 2 million SOL, with nearly all tokens staked through institutional validators. However, on October 11, the company announced plans to repurchase up to 95% of its outstanding shares and several warrant classes at $3 per security. The announcement disclosed that SkyAI had recently sold approximately 1 million SOL, representing roughly half its holdings, and retained approximately 1 million tokens. Two days later, its SEC filing reported a remaining balance of approximately 600,000 SOL.
The additional reduction of roughly 400,000 tokens was not explained in the filing. SkyAI intends to finance its tender offer through existing cash and proceeds from Solana sales, with the October 13 filing indicating it had approximately 80% of the required cash. The proposed $3 purchase price represents a 65% premium over SkyAI’s October 9 closing share price and more than double its 60-day volume-weighted average. The offer is expected to begin around October 15 and remain open for 10 business days, subject to conditions including Solana remaining above $100.
Major Shareholder Demands Answers and Board Changes
Bastion Trading criticized the scale and disclosure of the asset sales, arguing that the liquidation represents a significant departure from SkyAI’s previously stated investment strategy. The shareholder demanded disclosure of transaction dates, quantities, execution prices, proceeds and the internal approvals authorizing the sales. Bastion also called for the proposed tender price to increase from $3 to at least $3.50 and requested independent oversight of the process. The investor raised concerns about strategic advisor warrants reportedly granted to an entity controlled by the brother of SkyAI’s chief investment officer. It said it would not participate in the tender offer unless its concerns were satisfactorily addressed.
The disagreement follows SkyAI’s September shareholder meeting, when all five directors received more votes withheld than votes supporting their election but remained in office under the applicable voting rules. SkyAI has also rejected an unsolicited acquisition proposal from fellow Solana treasury company Forward Industries, arguing that the offer undervalued its business. The situation highlights a broader challenge for digital asset treasury companies: balancing cryptocurrency accumulation strategies against shareholder demands for liquidity and capital returns. Selling substantial reserves can provide immediate cash but reduces future exposure to cryptocurrency price appreciation and potential staking income. For SkyAI, the unresolved questions concern the proceeds from its Solana disposals, the fairness of its proposed tender offer and whether its remaining treasury can support its original strategy. Further SEC disclosures and the tender offer’s formal launch will determine how the company addresses those concerns.