Shares of BitFuFu Inc. (FUFU) plummeted 5.04% in pre-market trading on Wednesday, following the company's announcement of filing a prospectus for an At Market Issuance Sales Agreement. The sharp decline reflects investors' concerns about potential stock dilution as the company prepares to offer additional shares to the market.

According to the filing, BitFuFu Inc. has entered into an At Market Issuance Sales Agreement with several major securities firms, including B. Riley Securities, Cantor Fitzgerald & Co., Northland Securities, Inc., and Roth Capital Partners, LLC. The agreement allows the company to issue and sell additional ordinary shares, referred to as Placement Shares, through these agents.

The Cayman Islands-incorporated company, which trades under the symbol "FUFU," filed a registration statement on Form F-3 with the U.S. Securities and Exchange Commission (SEC) on June 10, 2025. This filing includes a base prospectus and a supplementary prospectus specifically related to the Placement Shares. While the move may provide BitFuFu with additional capital, the potential increase in the number of outstanding shares has evidently spooked investors, leading to the significant drop in stock price.