Bitmine Immersion Technologies (BMNR), the largest holding company of Ether (ETH), is looking at losses of nearly $9 billion as the token’s slide below $1,800 lowers the value of its massive treasury.
Shares of the company chaired by Tom Lee fell another 5.9% on Wednesday, falling below $17 and extending their decline to 28% since early May. The stock has now fallen below its February low to its weakest level since the company announced its pivot to an Ethereum treasury strategy in May 2025.
The selloff comes as ETH retests its February lows. The second-largest cryptocurrency has lost more than 20% since early May, when Lee, co-founder of Fundstrat and chairman of BitMine, argued that the market’s “mini crypto winter” was likely over and a new “crypto spring” had begun.
Under Lee’s leadership, Bitmine has accumulated more than 5.4 million ETH, or about 4.5% of Ethereum’s circulating supply, in about a year. This position is worth around $10 billion at current prices.
However, these holdings are now deep underwater, resulting in unrealized losses estimated at $8.9 billion, according to data collected by DropsTab.
Digital asset treasuries under pressure
Bitmine’s withdrawal highlights renewed pressure in the digital asset treasury industry, where companies are seeking to replicate the playbook pioneered by Michael Saylor’s MicroStrategy (MSTR): raise capital on public markets and use the profits to accumulate cryptocurrencies.
This pattern has become increasingly difficult to maintain as cryptocurrency prices have weakened and many Treasury stocks have drifted below the value of their underlying assets.
Strategy itself recently disclosed its first bitcoin sale since 2022, sparking debate over how the company might finance future obligations tied to its preferred stock offerings.
The Bitmine situation differs in some key respects. The company financed its ether purchases primarily through equity issuance rather than debt, allowing it to avoid the debt and interest payment issues faced by some of its Treasury peers.
The company also generates revenue by staking its ETH and operating its MAVAN staking service. Bitmine said it has staked more than 4.7 million ETH – around 87% of its holdings – and recently estimated annualized staking revenue at around $276 million.
Lee asks for $250,000 ETH
Recent price action has not dampened Lee’s long-term outlook.
Speaking at the Proof of Talk conference in Paris earlier this week, he said ETH could eventually reach $250,000 as tokenization, AI-powered transactions and enterprise staking reshape Ethereum’s role in the global financial system.
For now, investors seem focused on a more immediate reality. Ether has returned near levels last seen during the February sell-off, leaving Bitmine’s cash pile deep underwater and highlighting the gap between Lee’s long-term thesis and the market’s current view on the asset.
