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BitMine’s Ether Bet Swells to $8 Billion Paper Loss as ETH Slides Below $2,000

The Ethereum treasury firm says equity financing leaves it under no pressure to sell despite a steep drawdown.

Overview

  • DropStab data show BitMine holds 4.29 million ETH acquired for about $16.4 billion, now valued near $8.4 billion after ether fell below $2,000.
  • BMNR shares dropped another 9% on Thursday to their lowest level since the strategy pivot and are down 88% from July’s peak.
  • Management says ETH purchases were funded with equity, the company holds $538 million in cash, and more than 2.9 million ETH are staked, so there are no debt covenants forcing sales.
  • Despite losses, BitMine added roughly 41,788 ETH in late January and has increased the share of its holdings earning staking yield.
  • CoinDesk reports intensified ETH selling pressure from founder transactions, leveraged unwinds, and Aave-related deleveraging, contributing to ether’s underperformance versus other large caps.