It's not a matter of 'needing' to dilute shares. The loans are already on the books, and the conversions are decided by time and the LENDERS, not BVTK. In the absence of actual revenue to pay loans, which we have not seen yet, BVTK will have to continue to borrow. The only lenders they have found so far are toxic lenders - others seem to know better, rightfully. And, when those loans mature enough, they will likely convert.
Going current will shorten the waiting schedule for those maturing (eligible for conversion) loans...so it is REASONABLE to expect a LOT of dilution as soon as they go pink current. Not filing to become current can be a very real way to delay the conversions until more revenue comes in. That is exactly what I think they are doing, and is why I have divested most of my BVTK, always at 500% or more per sale. I have more at over 400% that will be up next if it gets to 500%.
Also, as I mentioned earlier, there may be loans eligible to convert right now. We may have already seen some of it, but I have not seen the TA's updated OS numbers, so I can't say for sure. But there appears to be enough debt to bring the OS up to the AS, so a smart lender that CAN convert before BVTK is current probably WILL. And that is part of the ever-dilutive play, here.