BitMine soars with a $250mln raise for Ethereum treasury strategy

BitMine Immersion Technologies stock shot up on Monday, driven by news of its high-stakes pivot from crypto mining to treasury building, using Ethereum.

The New York-listed group announced a $250 million raise, in a placing, to build what it envisages as one of the largest publicly traded ETH treasuries.

Heavyweight web3 investors like the Founders Fund, Pantera, Kraken, Galaxy Digital, and Republic, whilst investment firm MOZAYYX lead the round taking up more than 55 million shares priced at $4.50 each.

Rocketing more than 600% in one session, trading at $33.90, it's clear to see that BitMine caught the imagination of the market with the Ethereum treasury plan.

"The private placement will accelerate BitMine's treasury holdings ... FalconX, Kraken, and Galaxy Digital plan to partner with the company to grow a world class Ethereum treasury strategy alongside existing custody partners, BitGo and Fidelity Digital," CEO Jonathan Bates said.

Funds banked by BitMine will be used to purchase and hold ether (ETH) as its primary reserve asset.

Bitmine also highlighted Ethereum as having a dominant position in stablecoin, tokenization, and decentralized finance (DeFi) ecosystems.

Backing the new venture will be a newly appointed chair, Wall Street strategist and crypto bull Tom Lee.