Ethereum News Today: BitMine Aims to Control 5% of Ethereum Supply with Bold Treasury Play

BitMine Immersion Technologies (NASDAQ: BMNR) has become the largest Ethereum treasury company, holding approximately 1.72 million ETH, valued at around $7.65 billion, as of recent data. The company’s strategic shift under the leadership of Tom Lee, a veteran Wall Street strategist and co-founder of Fundstrat, has seen it focus on accumulating a significant portion of Ethereum’s total supply, with a long-term goal of acquiring 5% of the circulating ETH. This approach mirrors the strategy pioneered by MicroStrategy (now rebranded as Strategy) in the Bitcoin market and positions BitMine as a key player in the growing trend of institutional Ethereum adoption.

BitMine’s Ethereum accumulation strategy began in earnest on June 30, 2025, with a $250 million capital raise, followed by additional funding that has accelerated its purchases. By early August 2025, the company had already amassed over 1.15 million ETH, and by August 24, it had expanded its holdings to 1.713 million ETH. The company’s treasury now includes not only ETH but also 192 BTC and $562 million in unencumbered cash, solidifying its position as the second-largest corporate crypto holder globally, behind Strategy’s Bitcoin holdings. BitMine’s aggressive acquisition rate, reportedly 12 times faster than Strategy’s initial Bitcoin purchases, underscores its commitment to reaching its 5% target in a relatively short timeframe.

The company’s dual-business model combines Bitcoin mining operations with its Ethereum treasury strategy. BitMine utilizes immersion cooling technology in its mining centers, which increases mining efficiency and reduces energy consumption by up to 40%. This technology enables the company to achieve a 25–30% hashrate boost, ensuring a steady stream of revenue that is reinvested into ETH purchases. The company also stakes a portion of its holdings, generating annual yields of approximately 3–4%, which provide additional income and further integration into the Ethereum network.

BitMine’s strategy has attracted significant institutional backing from high-profile investors, including ARK Invest, led by Cathie Wood, and Founders Fund, co-founded by Peter Thiel. Other notable supporters include Bill Miller III, Pantera Capital, and Galaxy Digital . This support adds credibility to the company’s approach and highlights growing institutional interest in Ethereum as a strategic asset. Additionally, BitMine’s shares have become a proxy for Ethereum exposure, with its net asset value per share rising from $22.84 in July to $39.84 by late August, reflecting the rapid growth of its ETH holdings.

Critics and analysts have noted both the potential and the risks associated with BitMine’s strategy. The company’s reliance on share issuance and at-the-market offerings has raised concerns about dilution, with existing shareholders facing potential decreases in ownership value. Furthermore, the volatility of BMNR shares, which closely track ETH price movements, introduces significant risk for investors. While the dual-income model—combining mining and staking—offers a more balanced approach compared to purely speculative investments, it remains a high-conviction bet on Ethereum’s long-term trajectory.

BitMine’s rapid accumulation has also drawn comparisons with SharpLink Gaming (NASDAQ: SBET), another Ethereum treasury company. While SBET takes a more measured, yield-focused approach with its staking and buyback programs, BitMine’s aggressive expansion strategy has allowed it to surpass SBET in both scale and pace of accumulation. This divergence in strategy presents investors with distinct options based on their risk tolerance and investment goals.

BitMine’s rise as a major Ethereum treasury company underscores the increasing institutionalization of the cryptocurrency market and the strategic value of large-scale crypto holdings. As it continues to execute its 5% acquisition plan, the company may play a pivotal role in shaping Ethereum’s market dynamics and institutional adoption.

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