BitMine Doubles Down on Ethereum with $823M Investment Boost

Crypto mining company BitMine Immersion Technologies recently announced an $823 million investment in Ethereum. The move makes it the largest corporate holder of ETH in the world. 

According to a press report, the company’s total assets, including crypto, cash, and other investments, are now valued at $13.4 billion. With the acquisition, BitMine’s Ethereum reserves now exceed 2.83 million tokens, more than 2% of all ETH currently available. 

Massive ETH Buy Fuels Treasury Growth

BitMine, located in Las Vegas, specializes in Bitcoin and Ethereum. It recently purchased 179,251 ETH tokens at an average price of $4,570 each, valued at $823 million at the time of purchase. The purchase, coupled with previous ones, increased the company’s total Ethereum holdings to over 2.83 million tokens. 

BitMine also owns 192 Bitcoins, a $214 million investment in Eightco Holdings, and $456 million in cash. Overall, its total assets have increased from $11.4 billion to $13.4 billion in just two weeks. The Bitcoin mining company utilizes the funds it has raised, along with its mining income, to accelerate growth. 

The company’s recent ETH acquisition was made through private trades to avoid market disruption. BitMine is currently the largest corporate ETH holder, surpassing competitors like SharpLink Gaming and The Ether Machine. The announcement followed the Token2049 event in Singapore, where chairman Tom Lee noted Ethereum’s significance in traditional finance and other sectors.

Growing Investor Confidence in ETH 

The news coincides with a 10% price increase in Ethereum, driven by Bitcoin rising above $125,000 and renewed optimism following the introduction of clear regulations.

BitMine’s stock, BMNR, ranks 28th among U.S. equities, with daily trading volume of $2.5 billion over the past five days. The stock has surpassed Nike and is trailing JPMorgan. 

BitMine is supported by major investors, including ARK Invest’s Cathie Wood, Founders Fund, Bill Miller III, Pantera Capital, Kraken Ventures, Digital Currency Group, and Galaxy Digital. This backing has increased its share value and outperformed its competitors in terms of growth and liquidity. 

Analysts view BitMine’s strategy as a safeguard against the growing U.S. national debt, now nearing $38 trillion, with crypto seen as a defense against risks related to traditional currencies. Chairman Lee also mentioned plans to stake ETH to earn additional yield, improving returns on its extensive holdings.

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