Company Nears Owning 5% of All Ethereum With $11.8 Billion Stockpile

Bitmine now holds 5.79 million ETH worth $11.3 billion, closing in on its goal of controlling 5% of all Ethereum in existence.

A company called Bitmine is on a mission to buy up a huge chunk of the world's Ethereum — and it's getting very close to its goal.

Ethereum (a popular cryptocurrency, or digital money, second in size only to Bitcoin) has a limited supply of coins in circulation. Bitmine wants to own 5% of all the Ethereum out there, and it's now at about 4.8%.

On Sunday, Bitmine revealed just how much it has stockpiled. This kind of company is called a "crypto treasury firm" — a business whose main strategy is to buy and hold large amounts of cryptocurrency as its core asset.

Here's what Bitmine currently holds:

5.79 million ETH (Ethereum), worth about $11.3 billion
208 Bitcoin, worth roughly $13.6 million
$268 million in cash and easy-to-sell investments
A $180 million stake in MrBeast's Beast Industries
A $61 million investment in Eightco Holdings

All together, that adds up to $11.8 billion.

The company is also "staking" 4.9 million of its ETH. Staking means locking up your crypto to help run and secure the network — and earning rewards in return, a bit like earning interest in a savings account. Bitmine expects to earn about $299 million per year once all its ETH is staked.

Bitmine's chairman, Tom Lee, said the company is feeling optimistic. He pointed to the "ETH/BTC ratio" (a measure comparing Ethereum's price to Bitcoin's price) hitting a 3-month high, which he sees as a sign crypto prices are getting stronger. He thinks Ethereum could climb toward $2,000 and $2,500 (it currently trades around $1,900).

Bitmine has also been buying back its own shares — repurchasing 11.6 million shares since July under a $4 billion program. Companies buy back shares when they believe their stock is undervalued.

The bottom line: Bitmine is one of several public companies now treating Ethereum as a major long-term investment — copying the famous strategy that firms like Strategy used with Bitcoin.

This is an AI-generated summary. Read the original article at: https://decrypt.co/374389/bitmine-nears-5-percent-ethereum-supply-with-11-8-billion-treasury