Bitmine (BMNR), the largest Ethereum treasury firm, significantly increased its ether (ETH) purchases last week, acquiring 126,971 ETH during a downturn in cryptocurrency prices.

Details of the Purchase

  • The recent acquisition of 126,971 ether was valued at approximately $214 million, boosting Bitmine's total crypto and investment portfolio to $9.9 billion.
  • This marked the firm's largest weekly purchase in 2026, despite earlier suggestions from chairman Tom Lee to reduce buying activities.
  • Chairman Tom Lee commented, "We increased our buying as we believe this pullback in ETH prices does not reflect the strengthening of Ethereum fundamentals."

Last week, Bitmine made a substantial purchase of ether, which was reported to be worth around $214 million at current market rates. This activity increased the firm's total ether holdings to 5.54 million, equivalent to about $9.3 billion. In contrast, the previous week, the firm had only bought 26,497 tokens, and the week prior, nearly 120,000 ETH.

This purchase reflects a shift from Bitmine's earlier strategy of slowing down acquisitions as it approaches its target of accumulating 5% of the total ether supply. Currently, the firm owns 4.59% of the total supply and is expected to reach its goal later this year.

"We increased our buying as we believe this pullback in ETH prices does not reflect the strengthening of Ethereum fundamentals," stated Tom Lee.

While many other large digital asset treasury firms have paused purchases and begun selling due to declining crypto prices since October, Bitmine continues to expand its holdings. This decision comes despite the firm facing an estimated $9.6 billion in paper losses as ETH prices dropped to their lowest in over a year, down approximately 65% from their peak in August.

Additionally, Bitmine has announced plans to introduce a preferred equity class that offers dividends, aiming to raise further capital. This approach mirrors strategies employed by bitcoin-centric firms, although it has raised questions among investors regarding the sustainability of dividend payments amid fluctuating bitcoin prices.

Investors are currently evaluating whether the firm will manage to meet its dividend obligations or maintain liquidity as bitcoin values have recently declined.