Exodus slashes Bitcoin holdings by 50% in Q1 2026 – Is BTC’s volatility why?

Exodus Movement has released its Q1 2026 report highlighting a loss of $32.13 million in digital assets. This is more than double the loss seen at the same time last year when the company recorded $12.87 million in net loss.

From the 1st of January to the 31st of March, 2026, Exodus reported total revenue worth $22.75 million, which is much less as compared to Q1 2025, when they saw total revenue of $35.99 million, marking a drop of 36.8%.

Exodus reports losses in Q1 2026

According to the quarterly report, the firm’s digital assets value had dropped to $48.22 million as compared to the 31st of December 2025, wherein it was at $1.56 billion. 

Additionally, as of the 31st of December 2025, Exodus had 12,473 Solana [SOL], 1,704 Bitcoin [BTC], and 1,898 Ethereum [ETH] in its treasury.

By the 31st of March, 2026, however, BTC units had fallen to 628. On the other hand, SOL units rose to 17,541, while ETH units saw a slight decrease of 37 units. 

Citing the reason behind the same, the firm highlighted that the market price of digital assets held during Q1 2026 fluctuated negatively.

This was mostly due to market volatility brought on by macroeconomic headwinds, such as the Fed rate changes, tariff policy, and geopolitical tensions, which slowed growth and raised inflation.

Will giving up on Bitcoin help Exodus?

Exodus believed that cutting back on BTC could free up funds for strategic investments, expansion plans, or operating expenses without significantly depending on outside funding.

But there are trade-offs associated with the strategy as well. This is because reducing exposure could limit upside if BTC continues outperforming altcoins during the current cycle.

At the same time, the price of Exodus stock had also dropped 9.60% to $6.97. Additionally, there has been a 52.87% drop in stock price action so far this year. This coincided with Exodus introducing XO Cash, a new stablecoin designed especially for AI agents.

Final Summary

• As of the 31st of December 2025, Exodus had 1,704 Bitcoin, but by the 31st of March 2026, however, Bitcoin units had fallen to 628.
• The crypto market experienced widespread volatility in Q1 2026, experiencing negative fluctuation.