Tom Lee has transformed a former bitcoin miner into one of the most aggressive corporate buyers of ether in the market. BitMine Immersion Technologies now sits on 5.74 million ETH. That stake equals nearly 4.8% of the total supply. At recent prices the position alone approaches $10 billion.
The company disclosed the latest figures on July 6. Total crypto holdings, cash, marketable securities and select “moonshot” investments reached $11.1 billion. BitMine added roughly 42,000 ETH in the preceding week. The purchases cost about $74 million. Yahoo Finance first detailed the transaction and the concurrent bitcoin sales by rival treasury firm Strategy.
Lee, chairman of BitMine and a longtime crypto bull at Fundstrat, frames the buying as preparation for broader adoption. “Over the past few days, investors have become more optimistic about the passage of the Clarity Act with prediction markets now seeing approximately 50% probability, the highest odds in two weeks,” he said in a statement. He believes regulatory clarity will let smart-contract platforms such as Ethereum embed themselves in daily finance. Odds on Polymarket for the bill’s passage this year hover near 48 percent. They have climbed four percentage points in recent sessions but remain well below February peaks.
From Mining Rigs to Ether Treasury
BitMine once focused on bitcoin mining under immersion-cooling technology. That business faded into the background after Lee took the chairman role last year. The firm raised fresh capital through a preferred-stock offering and redirected proceeds straight into ether. It now stakes the vast majority of its coins. Some 4.879 million ETH, or 85 percent of the hoard, earns rewards on the MAVAN validator network. Projected annualized staking income stands at $235 million and could reach $277 million if the entire stack is deployed.
The strategy stands in sharp contrast to Strategy, the bitcoin-centric treasury vehicle. While Strategy sold $216 million worth of bitcoin to meet dividend obligations, BitMine kept buying ether. Lee views the divergence as temporary. He expects both assets to benefit from institutional flows once rules become clearer. Shares of BitMine rose more than 5 percent on the day of the latest disclosure, trading near $15.14. The company joined the Russell 1000 index at the end of June. Lee predicts the move will draw hundreds or even thousands of additional institutional owners. “Being added to the Russell 1000 is expected to add hundreds and possibly thousands of additional institutional investors as equity owners of BitMine,” he said.
So the treasury keeps growing. BitMine now ranks as the world’s largest ether corporate holder and the second-largest overall crypto treasury after Strategy. Daily trading volume in its shares averages $543 million, placing the stock among the most actively traded names on U.S. exchanges. The company also pays dividends on its 9.50% Series A perpetual preferred stock, listed on the NYSE under BMNP since mid-June.
Analysts and market watchers track every purchase. PR Newswire carried the formal release that corrected and expanded earlier numbers. The update confirmed 5,742,237 ETH held as of July 5, alongside 206 bitcoin, $527 million in cash and securities, $180 million in Beast Industries and $71 million in ORBS tokens. The firm calls its end goal the “Alchemy of 5%.” It stands 95 percent of the way there. Reaching exactly 5 percent of the roughly 120.7 million ETH supply would require about 6.04 million coins.
Lee has repeated the target in interviews and letters to shareholders. He argues that ether remains undervalued relative to its role in stablecoins, tokenization and decentralized applications. Recent market weakness created what he termed an “attractive opportunity.” Ether itself rose more than 10 percent in the week ending July 6, trading around $1,800 after the announcement. The token still sits 65 percent below its all-time high near $4,946.
But risks abound. A prolonged price decline would pressure BitMine’s balance sheet even as staking yields provide a buffer. The preferred dividends create fixed obligations regardless of ether’s performance. Earlier coverage from Yahoo Finance in June highlighted that the firm was already more than $10 billion underwater on its ether positions at lower prices. Yet Lee and his backers, which include ARK Invest, Pantera and Galaxy Digital, continue to add. They see the current dip as part of a longer cycle that ends with mainstream tokenization of real-world assets on Ethereum.
Recent coverage reinforces the momentum. Crypto.news reported two days ago that BitMine had pushed past 5.7 million ETH and called the pace steady. The outlet noted potential supply-squeeze effects if the company keeps absorbing liquid ether. Yahoo Finance Video on July 7 quoted commentator Scott Melker observing that BitMine and Strategy are “going in opposite directions” for now. Melker added he believes Strategy will resume bitcoin purchases soon.
Market reaction on social platforms mixed optimism with questions. Several X posts on July 8 highlighted BitMine’s place on lists of top crypto treasuries, ranking second only to Strategy with more than $10 billion in assets. One post noted the firm’s ETH total now exceeds 4.8 percent of supply. Another wondered aloud about the recent stock pullback, suggesting more to the story than simple profit-taking.
Lee himself has stayed vocal. In a chairman’s message released in May he wrote that “the best years are ahead for crypto given the substantial upside to current adoption rates.” He points to Wall Street’s coming embrace of blockchain for settlement and issuance. BitMine’s heavy staking also positions it to capture network fees and rewards as Ethereum evolves. The company has increased its staked balance in nearly every weekly update this year.
Still, concentration creates its own pressures. Owning close to 5 percent of a major cryptocurrency gives BitMine influence over governance discussions and could affect liquidity. The firm has signaled it will continue the disciplined purchase program throughout 2026. If ether prices stabilize or climb, staking income alone could cover preferred dividends and leave room for further accumulation.
Investors now watch three variables. First, the legislative calendar for the Clarity Act and related bills. Second, ether’s price action amid broader risk sentiment. Third, BitMine’s ability to integrate its preferred-stock structure without diluting the common equity story. The Russell 1000 inclusion already expands the shareholder base. Higher trading volumes and call-option activity suggest traders expect continued volatility in both directions.
Lee’s track record as a crypto commentator lends credibility to the bet. Yet the scale of the position sets a high bar. Success depends on ether delivering the utility and adoption he forecasts. Failure would leave BitMine with a massive illiquid asset and fixed cash outflows. For now the purchases continue. The treasury swells. And the distance to 5 percent shrinks with each weekly buy.
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