Bit Digital, Inc. (Nasdaq: BTBT) has announced the pricing of a public offering of 75 million ordinary shares at $2.00 per share, aiming to raise $150 million in gross proceeds.
B. Riley Securities is serving as the sole bookrunner for the offering, while Clear Street, Craig-Hallum, and Northland Capital Markets are acting as co-managers.
Funds Target Ethereum Purchases in Strategic Shift to Staking and Treasury
The funds will be primarily used to purchase Ethereum, signaling the company’s strategic shift toward staking and blockchain treasury management.
The offering also includes a 30-day option for underwriters to buy an additional 11.25 million shares.
The deal is expected to close around June 27, 2025, pending customary conditions.
Bit Digital Expands Beyond Bitcoin, Taps Into Ethereum’s Yield Potential
The move positions Bit Digital to diversify beyond Bitcoin mining and deepen its presence in the Ethereum ecosystem, capitalizing on the growing institutional interest in Ethereum as a yield-generating and programmable asset platform.
Bit Digital has also announced that proceeds from its recent $150 million public offering will be used to purchase Ethereum (ETH), with the goal of accelerating the development of an Ethereum-focused treasury.
The company, which now describes itself as a “digital asset platform focused on Ethereum-native treasury and staking strategies,” is making a significant pivot from its previous focus on Bitcoin mining.
This strategic shift represents one of the largest public commitments to building an ETH treasury to date. By transitioning away from Bitcoin and emphasizing Ethereum staking, Bit Digital aims to tap into the growing institutional interest in Ethereum’s yield-generating capabilities.
The move signals a long-term bet on Ethereum’s role in decentralized finance (DeFi), smart contracts, and Web3 applications.
It also reflects a broader industry trend where firms are diversifying beyond Bitcoin to explore more programmable blockchain ecosystems with potential for passive income through staking.
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Bit Digital Shares Drop 15% After Ethereum-Focused Shift Announcement
Following the announcement that Bit Digital would formally shift its focus from Bitcoin to Ethereum, its stock (BTBT) dropped by 15.32%, closing at $1.99, according to Yahoo Finance.
Despite the market reaction, Bit Digital has been gradually accumulating Ethereum since 2022 alongside its Bitcoin holdings.
As of June 14, the company held approximately 24,434 ETH valued at around $59.6 million and 417.6 BTC worth $44.85 million.
With the $150 million raised through its recent public offering, Bit Digital could potentially expand its Ethereum treasury to approximately $209.6 million, based on the current ETH price of $2,441.
This significant capital injection marks a major shift in the firm’s strategy, reinforcing its commitment to Ethereum-native staking and treasury models despite short-term market volatility.