BitMine Immersion Jumps 40% After Revealing Half-Billion Dollar Ether Stash
BitMine Immersion Technologies (BMNR) saw its shares rocket by over 40% on Monday after the firm disclosed it holds a significant $500 million position in ether (ETH). The announcement provided a sharp reversal for the stock, which had been under pressure following a prior 50% decline sparked by a $2 billion at-the-market offering.
The Las Vegas-based company revealed it purchased 163,142 ETH, effectively converting all $250 million raised in a private placement on July 9 into cryptocurrency. The aggressive move echoes the high-profile bitcoin acquisition strategy famously employed by Strategy (MSTR).
Tom Lee, head of ether strategy at Fundstrat, likened BitMine’s accumulation of ETH to Strategy’s massive bitcoin holdings. Lee suggested such corporate treasuries could offer countries or major investors a way to secure exposure to major crypto assets indirectly. “If a nation wanted to acquire 5% of the bitcoin network, they might go through Strategy. The same logic now applies to ether with firms like BitMine,” Lee said.
BMNR shares surged to about $4.88, still below their recent peak of $6.25 reached on July 10.
So far this year, bitcoin is up nearly 29%, while ether remains about 9% lower year-to-date.
In a similar vein, bitcoin mining company BTC Digital announced over the weekend that it invested $1 million from its cash reserves into ether, calling ETH the new “digital gold.” According to data from Strategic ETH Reserve, public ether treasuries held by DAOs and corporations now total roughly 1.5 million ETH.
