After selling all its Bitcoin to pay off debt, AI firm tries to rebuild $827 million treasury from scratch

Genius Group, an AI-powered education company that previously used Bitcoin as a treasury asset, has proposed a $12.5 million perpetual preferred offering to restart a Bitcoin treasury it says should reach $827 million by fiscal 2031. The opening raise would cover just 1.51% of that target, leaving at least $814.5 million still to finance before any non-Bitcoin allocations.

Even that comparison overstates how much of the first raise could reach Bitcoin. Genius said the proceeds would be divided among its Bitcoin treasury, an AI portfolio and a dollar reserve equal to about 18 months of preferred dividends. The company has not set the dividend rate or allocation percentages, so the initial Bitcoin purchase cannot yet be calculated.

Genius Group Bitcoin plan: What the first raise would fund

Genius expects the proposed security to be non-convertible and to pay a variable rate monthly. But Genius has not determined the issue price, final size, timing, structure or exchange listing. Those terms remain subject to board approval, securities rules and market conditions.

Because the instrument would not dilute common shares at issuance, the risk shifts to preferred-stock obligations. A non-convertible preferred issue would not itself add ordinary shares, supporting Genius’ narrow claim that the instrument can avoid immediate common-stock dilution. Preferred holders would still sit ahead of ordinary shareholders through monthly dividend and liquidation claims. The cash cost cannot be measured until the rate and amount sold are known.

Genius also pointed to a $1.2 billion shelf registration that became effective in July 2025. A shelf registration permits securities sales over time but does not represent committed investor capital. It also is not untouched: an April 2026 prospectus supplement set an approximately $8 million public offering under the same registration.

The Genius Group Bitcoin plan begins from zero. Genius reported in April that it had sold its remaining Bitcoin and repaid $8.5 million of debt. Its latest audited year-end filing showed $2.42 million of cash, while an August update reported unaudited June net assets of $106.6 million and no third-party debt without giving a current cash balance.

Using today's Bitcoin price near $79,911, $12.5 million equaled roughly 156 BTC, while $827 million equaled about 10,349 BTC. Those figures only illustrate the scale: the company’s target is a long-range dollar ambition, not a funded purchase schedule.

The funding gap

Bridging the gap would therefore require repeated preferred sales or other financing far beyond the initial offering. Each round would depend on investor demand. The next decisive disclosure is not the shelf ceiling, but offering-specific materials showing the rate, price, size and allocation for the Genius Group Bitcoin plan.