Bitmine Nears Its Goal Of Holding 5% Of Ethereum

Bitmine Immersion Technologies has purchased an additional 12535 ETH, raising its reserves to 6.04 million units. The company is thus approaching its goal of holding 5% of the Ether supply, while its chairman Tom Lee attributes the recent market drop to concerns related to artificial intelligence and the macroeconomic context.

Bitmine adds nearly 30 million dollars in Ether

Bitmine announced on October 19 the acquisition of 12535 ETH. This purchase represented about 29.6 million dollars at the price held by the company. One week earlier, it had already added 12532 ETH to its balance sheet.

The company thus continues its weekly purchases despite the crypto price decline. The main figures published allow measuring the scale of this strategy :

• Bitmine now holds 6,041,481 ETH ;
• These reserves are worth nearly 14.5 billion dollars ;
• They represent approximately 4.9% of the circulating supply ;
• The company still needs to acquire nearly 63,500 ETH to reach 5 % ;
• Its total assets reach 15.1 billion dollars ;
• This amount was 16.2 billion a week earlier.

The decline in total portfolio value does not mean that Bitmine has sold a significant portion of its Ethers. It mostly reflects the decrease of the ETH price, which was near 2400 dollars at the time of calculation.

Bitmine also holds 17.6 million dollars in bitcoin, 582 million in cash and marketable securities, as well as several strategic investments. These include a 180 million dollar stake in Beast Industries and another 74 million in Eightco Holdings.

This accumulation makes Bitmine the largest publicly traded company specializing in an Ether treasury. However, it remains behind Strategy in the general ranking of companies holding cryptocurrencies. Michael Saylor’s company possesses a bitcoin reserve worth about 69.5 billion dollars.

The 5% target nears its final limit

Bitmine launched its Ethereum treasury strategy on June 30, 2025. Its goal is to control 5% of the ETH supply, a threshold the company presents as a decisive milestone in its financial model.

Tom Lee recently specified that Bitmine would stop its purchases once this target is reached. With about 63,500 ETH still needed, the company could soon end an accumulation that has been a regular source of demand in the market.

The group also seeks to generate income through staking. As of October 18, it had locked up 5,067,309 ETH, nearly 84% of its holdings. This activity would generate about 309 million dollars in annualized rewards at current yields.

Bitmine estimates these revenues could reach 369 million dollars per year if all its Ethers were placed in staking. This projection remains variable, as it depends on network yield, crypto price, validator performance, and operating costs.

Concentrating such a quantity of Ethereum also involves risks. A token drop directly reduces Bitmine’s balance sheet value. Moreover, a decline in its stock price could complicate future capital raises.

Tom Lee links the crypto decline to fears about AI

Ether lost about 11.5% in two weeks, compared to 4.4% for bitcoin. Tom Lee attributes this decline to a general contraction of investors’ risk appetite, rather than a degradation specific to the Ethereum network.

According to him, several factors weighed simultaneously on the markets: questions about financing artificial intelligence, doubts regarding model security, tensions between the United States and Iran, the U.S. midterm elections, and the global rise in bond yields.

Tom Lee stated:

Investors’ risk appetite has contracted in recent weeks.

He believes that the decline in semiconductor-related stocks then spread to the South Korean and Taiwanese markets, and then to cryptos.

This explanation remains that of Bitmine’s chairman. It does not prove that concerns around AI are the sole cause of Ethereum’s decline. Interest rates, institutional flows, and leveraged selling also influence the market.

Nonetheless, Bitmine views the current decline as a buying opportunity. Its proximity to the 5% target will soon allow testing another point: Ether’s ability to maintain strong demand when its main regular institutional buyer ceases acquisitions.

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The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.