Ethereum has increasingly become a go-to asset for public companies seeking to build digital asset treasuries (DATs).
According to CoinGecko, 27 entities across six countries now hold ETH as part of their DAT strategies, collectively accounting for about 5% of the total supply, valued at roughly $17.7 billion.
BitMine remains the leading public entity in this category and has begun adjusting its strategy as part of a broader shift in capital deployment.
Expanding strategy into staking
BitMine Immersion Technologies Inc., the largest publicly traded holder of Ethereum [ETH], has adopted a new approach by staking a portion of its ETH holdings.
On the 27th of December, the company deployed 154,176 ETH—valued at approximately $451 million—into staking across two separate rounds.
Staking allows investors to lock their assets into smart contracts that help secure the blockchain while generating rewards in the form of fees.
Through this strategy, BitMine can earn yield on its holdings, potentially helping to ease balance-sheet pressure over time as the company grappled with roughly $3.5 billion in unrealized losses from its ETH purchases.
Ambitious acquisition plans are in play
Despite these losses, BitMine showed no signs of slowing down.
The company controlled approximately 3.369% of Ethereum’s Circulating Supply at press time, amounting to just over 4 million ETH valued at roughly $11.924 billion.
However, BitMine’s ambitions extend far beyond this, with plans to acquire up to $5.88 billion worth of additional ETH to reach 5% of the total supply.
CEO Tom Lee said,
“We are making rapid progress toward the ‘alchemy of 5%’ and are already seeing the synergies from our substantial ETH holdings. We are a key entity bridging Wall Street’s move onto the blockchain through tokenization.”
He emphasized the company’s commitment to supporting Ethereum’s decentralized finance ecosystem, a stance that aligns with its recent staking decision.
With an additional 1.63% of Ethereum supply—worth about $5.88 billion—still in play, BitMine could further increase its staking exposure, potentially deploying up to $1 billion into this segment.
However, not all institutional players are following BitMine’s lead.
SharpLink, the second-largest publicly traded Ethereum holder, unstaked $104.4 million worth of ETH as of the 27th of December, though there’s no confirmation the company sold these assets on the open market.
Broader institutional landscape
Meanwhile, broader institutional sentiment appears to be weakening.
Data from CoinGlass showed that $164.9 million worth of holdings were sold over a recent three-day period, pointing to sustained outflows among institutional participants.
Even so, institutions still control a significant share of the market, with approximately $17.05 billion in assets under management remaining within this segment.
Final Thoughts
- BitMine has doubled down on Ethereum staking, committing $451 million, a move that follows $3.5 billion in unrealized losses.
- The company also plans to expand its Ethereum holdings further, with up to $5.7 billion worth of ETH earmarked for future purchases.
