BitMine Files 9.5% Preferred Stock Offering To Fund Ethereum Strategy

BitMine plans to offer 3,000,000 shares of 9.50% Series A Perpetual Preferred Stock, giving Tom Lee’s Ethereum treasury company a new funding channel tied to cash dividends and ETH accumulation.

Each preferred share carries a $100 stated amount and initial liquidation preference. If sold at stated value, the offering would represent $300 million in preferred stock. The company has applied to list the preferred shares on the New York Stock Exchange under the ticker BMNP, with trading expected within 30 days after issuance if the listing is approved.

The preferred stock is designed to pay cumulative dividends at a fixed 9.50% annual rate on the $100 stated amount. Dividends are payable weekly in cash when declared by BitMine’s board, and unpaid dividends compound under a schedule that can rise toward a 15% annual cap.

BitMine plans to use proceeds for general corporate purposes, including additional ETH purchases, staking and validator infrastructure, MAVAN expansion, working capital, Ethereum ecosystem investments and possible common-stock repurchases.

Ethereum Gets A Strategy-Style Funding Model

The filing brings BitMine closer to the preferred-stock model Strategy used to finance its Bitcoin treasury. Strategy’s STRC became a key capital-raising tool for Bitcoin accumulation by offering yield-focused exposure beside its common stock.

BitMine is now building an Ethereum version of that structure. Common shares give investors leveraged exposure to the company’s ETH treasury. Preferred shares add a yield product that can raise capital without immediately issuing more common stock.

That matters because BitMine has already become the largest public Ethereum treasury company. Its latest holdings update put the company at 5.42 million ETH, equal to about 4.49% of Ethereum’s supply. The company has also staked a large portion of its ETH through MAVAN and other staking infrastructure.

The preferred stock gives BitMine another way to keep building around ETH while preserving its “Alchemy of 5%” strategy, the company’s goal of owning 5% of Ethereum supply.

Weekly Dividends Come With Treasury Pressure

The timing is important. ETH has fallen sharply, and BitMine’s treasury has been under pressure as the market reprices corporate crypto holders. The company’s Ethereum position has recently been tied to an estimated multi-billion-dollar unrealized loss, making its funding structure more important as ETH trades below much of its accumulation base.

That pressure was already visible across the public treasury trade. Strategy and BitMine recently sat on more than $16 billion in combined crypto paper losses after Bitcoin and Ethereum fell hard. BitMine’s preferred-stock filing shows the company is still trying to build through the drawdown rather than pause the ETH strategy.

The weekly dividend feature may appeal to yield-focused investors, but it also creates a recurring cash obligation if dividends are declared. BitMine’s model depends on balancing ETH accumulation, staking rewards, cash reserves, equity-market access and the cost of preferred capital.

The filing turns BitMine into the clearest test of whether Strategy’s Bitcoin treasury playbook can be adapted to Ethereum. If demand for BMNP is strong, BitMine gets another tool to buy, stake and hold ETH at scale. If demand is weak or ETH keeps falling, the preferred structure will make the cost of funding the Ethereum treasury much harder to ignore.

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