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Bitmine Nears 5% of Ethereum After Two Large ETH Purchases

Purchases concentrate supply, lock most tokens into staking, saddle the firm with about $9.6 billion in unrealized losses.

Overview

  • Bitmine reported a 126,971‑ETH buy that raised its holdings to about 5.543,872 million ETH and then acquired roughly 75,000 ETH through Kraken and FalconX over an eight‑hour window.
  • The company now holds roughly 5.54 million ETH, equal to about 4.59% of an estimated 120.7 million supply, and says it remains committed to reaching a 5% ownership goal in 2026.
  • More than 4.718 million ETH—over 85% of Bitmine’s position—is staked through its MAVAN validator network, producing projected annualized staking revenue near $230 million.
  • Market watchers note the firm’s use of institutional counterparties and fresh receiving wallets reduces short‑term market impact but concentrates off‑exchange holdings and makes large unwinds difficult.
  • Bitmine’s preferred‑share fundraising plan has drawn investor scrutiny because the treasury sits with roughly $9.6 billion in paper losses and investors are watching dividend sustainability and liquidity risks.