TLDR
- Datavault AI (NASDAQ:DVLT) stock jumped 16.2% in premarket trading after announcing a partnership with Max International AG to create a Switzerland-based Digital RWA Exchange for tokenizing real-world assets.
- The stock has surged over 400% in the past month, climbing from under $0.50 in September to recent highs near $3.00, driven by retail trader enthusiasm for AI and crypto.
- DVLT secured a $150 million investment from Scilex Holding paid entirely in Bitcoin, providing capital for AI infrastructure but potentially diluting shares by up to 279 million at $0.54 each.
- The company signed a letter of intent to acquire NYIAX Inc., a blockchain-based advertising exchange operator backed by Nasdaq, with the deal expected to close by Q1 2026.
- Despite the rally, DVLT reported a loss of $0.54 per share on just $1.74 million in revenue last quarter, with management projecting $12-$15 million in second-half 2025 revenue.
Datavault AI Inc. shares climbed 16.2% in Monday’s premarket session after the company unveiled a new partnership in Switzerland. The micro-cap AI firm announced it will work with Max International AG to establish a Digital RWA Exchange based in Zurich.
The platform will focus on tokenizing real-world assets using blockchain technology. Switzerland’s established digital asset regulations provide the backdrop for the venture.
The exchange will serve as the foundation for two specialized platforms. One will tokenize commodities through Datavault’s International Elements Exchange. The other will handle name, image, and likeness rights via an International NIL Exchange.
Zurich was chosen for its position as a global financial hub. The Swiss city handles over 70% of worldwide gold refining operations.
Datavault will leverage its patent portfolio covering secure data tokenization and digital twins. The company’s DataValue and DataScore systems will provide algorithmic valuations for assets that typically lack liquidity.
CEO Nathaniel Bradley said large corporations and governments have approached the company about blockchain solutions. He emphasized making complex processes “simple tokenized, automated, fail-proof compliant scale.”
The partnership aims to facilitate the first regulatory-compliant trades on stablecoin platforms. It positions Datavault in a market projected to exceed $1 trillion in tokenized assets by 2030.
The 400% Surge and What’s Fueling It
The Swiss announcement comes as DVLT stock has experienced extreme volatility. Shares traded around $0.50 in late September before rocketing past $1 in early October.
The stock hit intraday peaks near $3.00 last week. On October 14, shares soared 28.8% in a single session, closing at $2.19 on volume exceeding 80 million shares.
That represented more than four times the stock’s typical trading activity. The frenzy pushed DVLT up over 400% from its September lows.
Trading has been driven primarily by retail investors rather than institutions. The stock pulled back to $1.79 by Friday, October 17, but remains roughly quadruple its late-September price.
The surge allowed DVLT to regain Nasdaq compliance on October 10. The company had faced a delisting warning for failing to maintain the exchange’s $1 minimum bid price for ten consecutive days.
Short interest stands above 20% of the float. Institutional ownership sits below 1%, leaving the stock vulnerable to sharp sentiment swings.
Daily volatility has averaged nearly 19% over the past week. Swings of 10% or more within single trading sessions have become routine.
The $150 million investment from Scilex Holding provided a major catalyst. The deal is structured entirely in Bitcoin, marking one of the first cryptocurrency-funded investments of its scale.
Scilex will transfer Bitcoin to Datavault via Coinbase in two tranches. The first tranche of approximately $8.1 million closed in late September, with DVLT issuing 15 million shares at $0.54 each.
The second tranche of roughly $141.9 million requires shareholder approval. It would result in approximately 279 million total shares going to Scilex, potentially doubling DVLT’s outstanding share count.
The effective purchase price of $0.54 per share sits below recent trading levels. This could create downward pressure when those shares enter circulation.
Expansion Through Acquisitions and Partnerships
Datavault signed a letter of intent on October 13 to acquire NYIAX Inc. The New York-based firm operates a blockchain advertising exchange in partnership with Nasdaq.
NYIAX runs a platform for trading digital advertising contracts using blockchain smart contracts. The acquisition would bring proven exchange technology and multiple patents jointly owned with Nasdaq into DVLT’s portfolio.
Financial terms were not disclosed. The deal is expected to close by Q1 2026 pending definitive agreements.
The NYIAX platform would provide trading infrastructure for Datavault’s planned specialized exchanges. The company recently incorporated four Delaware subsidiaries to serve as digital asset exchanges.
DVLT is an IBM Platinum Business Partner. IBM has committed 20,000 hours of technical support to help scale the platform.
The company launched a pilot program on October 7 with ViBe 99.7 FM in California. The one-year test will implement DVLT’s patented ADIO inaudible audio technology at the radio station.
The technology uses inaudible audio signals to trigger mobile content. It targets the $28 billion U.S. radio advertising market with interactive, Web3-enabled broadcasts.
Last quarter, Datavault reported a net loss of $0.54 per share. Revenue totaled just $1.74 million for the period.
The company’s net margin was approximately negative 1,309%. Return on equity measured about negative 94%, reflecting heavy research and development spending.
At current prices around $1.80 per share, DVLT trades at over 80 times trailing sales. The market capitalization exceeds $300 million despite annual revenue likely under $5 million.
Management raised revenue guidance following the Scilex funding. The company now expects $12-$15 million in second-half 2025 revenue.
Executives anticipate exceeding the prior $40-$50 million sales target for 2026. They cite full funding and multiple growth initiatives as reasons for the increased outlook.
Wall Street coverage remains sparse. One analyst rates the stock Strong Buy, another Buy, and one Sell, yielding a “Moderate Buy” consensus.
The average 12-month price target sits around $7.00. Individual targets range from $3 to $11, reflecting wide disagreement on valuation.
Bulls point to partnerships with IBM and Nasdaq-backed NYIAX as validation. The $150 million war chest provides capital to execute on the company’s vision.
Bears counter that fundamentals lag far behind the stock price. They note the lack of institutional ownership and dependence on retail trader momentum.
MarketBeat analyst Thomas Hughes rates DVLT as “very high risk.” He warns the stock could pull back sharply to $1.50 or lower if the company fails to deliver tangible progress.
The company’s next earnings report is expected in November. Updates on exchange launches and pilot program progress will be closely watched.
DVLT plans to have at least two exchanges operational by the end of 2025. The shareholder vote on the full Scilex funding will determine whether the company receives the remaining $142 million.
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