Woofun AI reports that ReserveOne has officially terminated its proposed $1 billion merger with Special Purpose Acquisition Company M3-Brigade Acquisition V Corp. (MBAV). The cryptocurrency asset management firm determined that the transaction is no longer viable following significant market shifts since the deal was announced nearly a year ago.

Investors highlighted that the substantial decline in Bitcoin prices has created an unfavorable environment for an initial public offering. Executing the merger at current levels would likely result in a stock price trading below net asset value.

Furthermore, when accounting for transaction fees payable to bankers and sponsors, the deal lacks economic justification, prompting the decision to abandon the combination.