In brief
- Bitmine Immersion is planning to raise up to $24.5 billion from its common stock sales to buy more ETH.
- The Ethereum treasury firm is selling its common stock for $0.0001 per share.
- The company had already accumulated more than $2 billion worth of Ethereum tokens, as of publication time.
Bitmine Immersion is upping its fundraise target for buying more ETH by $20 billion, according to the firm’s filing with federal regulators on Tuesday, as it jockeys to maintain its standing as the world’s largest Ethereum treasury.
The cryptocurrency mining company aims to raise a total of $24.5 billion of its common stock. The announcement marks a dramatic expansion of its common stock sale, for which the company had already made $4.5 billion worth of its shares available to investors.
Under the sale, Bitmine Immersion’s common stock shares will go for $0.0001 each.
It is unclear what percentage of Bitmine’s stock sale proceeds will go toward purchasing ETH.
A company representative did not immediately reply to Decrypt’s request for comment on the matter.
Bitmine Immersion’s expansion of its common stock sale comes as a growing number of publicly traded firms establish Ethereum treasuries, fueling a resurgence in the cryptocurrency’s price.
Sharplink Gaming, BitMine and EtherMachine and Bit Digital largely began pivoting to accumulating massive amounts of Ethereum as a corporate strategy to lift shares of their stocks, adapting the playbook of Michael Saylor’s software firm Strategy, which is the largest corporate holder of Bitcoin. The companies’ holdings could soon account for 10% of all Ethereum in circulation, according to one Standard Chartered analyst.
And as publicly traded companies snap up greater amounts of Ethereum, the layer-1 token’s price has skyrocketed.
ETH is trading just below $4,500 as of writing time, up 50% in the past month and more than 70% year-to-date. That puts it less than 9% below its all-time high of just above $4,900 hit in November 2021.
In a Myriad Linea markets, nearly 80% of participants expect Ethereum to trade over $5,000 by years-end. (Disclosure: Myriad is a prediction market and engagement platform developed by Dastan, parent company of an editorially independent Decrypt.)
As the altcoin’s value has swelled, so too has Bitmine Immersion’s stock. The company’s shares were recently trading at $62.05 on Tuesday, up 51% in the past month and up nearly 700% in the year to date.
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