BitMine Immersion Technologies holds 1,150,263 ETH, valued at about $4.96 billion as of Aug 10. This figure uses market pricing of $4,311 per ETH, and the company launched an ETH treasury strategy to grow its crypto assets.
It funded the buys through a $250 million private placement and an $18 million public offering, taking payments in a mix of cash and cryptocurrencies to acquire large amounts of ETH.
Rapid build of ETH holdings
BitMine began its ETH Treasury strategy on June 30 and closed the initial phase on July 8. In the five weeks after that, the company added large amounts of ETH. The coin balance rose from about 833,137 to 1,150,263 tokens with its recent purchase of 317,000 tokens.
That jump added roughly $2.0 billion in holdings in a single week, the company says. Combined ETH and crypto assets now top $4.98 billion, making BitMine one of the biggest crypto treasuries overall.
Market position and trading liquidity
BitMine’s stock has seen heavy trading. Fundstrat data shows a 5-day average daily dollar volume of $2.2 billion as of August 8. That ranks the stock at about #25 among 5,704 US-listed names.
The company sits between large firms such as Costco and JPMorgan by that measure. BitMine says the high trading liquidity helps it move large crypto positions without upsetting the market too much.
Funding the strategy
To fund the purchases, BitMine priced a private placement for about $250 million. The deal sells 55,555,556 shares at $4.50 each, and the capital mix includes both cash and crypto deposits.
BitMine also filed a public offering to raise $18 million by selling 2.25 million shares at $8.00 apiece. An underwriter may buy an extra 337,500 shares within 45 days if needed. The company says these moves back its plan to hold ETH as a main asset.
Board and market commentary
Tom Lee of Fundstrat, who chairs BitMine’s board, highlighted the speed of the accumulation. He noted the company raised its crypto net asset value per share quickly and has seen strong stock trading. The board says the push for an ETH reserve is central to BitMine’s current strategy.
By ETH value, BitMine claims the top spot, and by total crypto treasury size, it ranks third worldwide behind Microstrategy and Mara Blockchain.
That wider ranking includes other coins and holdings beyond ETH. BitMine’s rapid rise has drawn attention because few public firms have such a concentrated crypto balance.
Risks and practical challenges
Holding a large amount of ETH concentrates market risk, and a big price swing would change the company’s net asset value quickly. The firm must manage custody, liquidity and reporting as the treasury grows.
Large token purchases can also face timing and execution risk in active markets. How BitMine handles selling or hedging will matter to investors.
Traders should watch trading volumes and any further share sales. The company may tap markets again to raise funds for more ETH buys. Also, follow custody disclosures and any accounting updates tied to crypto holdings. Market moves in ETH and broader crypto sentiment will shape the value of the treasury.
Also Read: Are ETH Treasuries Good? Ethereum Co-Founder Vitalik Says Yes, With A Stark Warning