Ethereum News Today: Bit Digital's $365M Bet: Staking Ethereum's AI Future

Bit Digital, a leading Ethereum-focused investment firm, has secured $365 million in new funding to expand its Ethereum (ETH) holdings, bringing its total assets under management to $11.6 billion. The company, formerly known as BitMine Immersion Technologies (BMNR), disclosed that it now controls 2.65 million ETH, representing over 2% of the total Ethereum supply. This acquisition, made at an average price of $4,141 per ETH, positions Bit Digital as the largest corporate holder of Ethereum globally, surpassing previous records set by entities like MicroStrategyBitMine Immersion (BMNR) Announces ETH Holdings Exceeding 2% of the ETH Token Supply^[1]. The funds raised through a premium equity offering-selling 5.22 million shares at $70 each and warrants exercisable at $87.50-will be allocated to further increase its Ethereum reserves, aligning with its long-term goal of acquiring 5% of the token supplyBitmine Becomes Largest Ethereum Holder After $358M ETH Purchase^[2].

The company's strategic emphasis on Ethereum stems from its belief in the asset's foundational role in the convergence of blockchain technology and artificial intelligence. Thomas "Tom" Lee, Bit Digital's chairman and Fundstrat's chief research officer, highlighted Ethereum's reliability, 100% uptime, and growing adoption in financial infrastructure as key drivers of its value proposition. "Ethereum is one of the biggest macro trades over the next 10-15 years," Lee stated, noting that the token's price reflects a discount to its future utility as a decentralized platform for AI-driven economiesEther (ETH) Treasury News: BMNR Tops Up Holdings - CoinDesk^[3]. The firm's treasury now includes $436 million in unencumbered cash, 192 Bitcoin (BTC), and a $157 million stake in Eightco Holdings (ORBS), diversifying its exposure while maintaining Ethereum as its primary assetBitMine Immersion (BMNR) Announces ETH Holdings Exceed 2% of Ethereum Network^[4].

Bit Digital's aggressive accumulation strategy has already triggered market responses. Following its September 4 purchase of 80,325 ETH ($358 million), Ethereum's price surged 1.6% to $4,375, reflecting heightened institutional demandBitMine Holds Over 2% of All ETH, Announces $365M Offering^[5]. The firm's total Ethereum holdings now exceed those of its closest competitor, SharpLink Gaming, which holds 838,150 ETH. Bit Digital's dominance in the Ethereum treasury space is further underscored by its 1 ranking in ETH holdings and 2 globally in total crypto treasury value, trailing only MicroStrategy's Bitcoin portfolio of 639,835 BTC ($71 billion)BitMine Immersion Technologies (BMNR) Stock: Soars on $11.4B Holdings^[6].

The company's stock performance has mirrored its Ethereum strategy's success. BMNR shares, listed on the NYSE American, have surged over 60% in the past two months, trading an average of $3.5 billion daily and ranking as the 24th most traded U.S. stockBMNR Stock Jumps 15% Amid Support for Tom Lee’s ETH Treasury Strategy^[7]. Institutional investors, including ARK Invest's Cathie Wood, Founders Fund, and Galaxy Digital, have bolstered their stakes in Bit Digital, signaling confidence in its capital-efficient model. Lee emphasized that the firm's ability to raise capital at a 14% premium to its share price-$70 versus $61.29-demonstrates strong market validation of its thesisBitMine Immersion (BMNR) Announces ETH Holdings Exceeding 2% of the ETH Token Supply^[8].

Analysts attribute Bit Digital's momentum to broader macroeconomic trends, including the SEC's Project Crypto and the GENIUS Act, which are reshaping regulatory frameworks for digital assets. These developments, coupled with Ethereum's transition to a proof-of-stake model and its role in decentralized finance (DeFi), are seen as catalysts for long-term appreciation. However, the firm's concentrated exposure to Ethereum carries risks. A 2025 report by Strategic ETH Reserve noted that while Ethereum's treasury adoption has grown to 3.7 million ETH ($16 billion), over-leveraging or market volatility could trigger liquidity challengesVitalik Buterin-Tom Lee on Ethereum Treasuries: Growth, Risks, and What’s Ahead^[9]. Bit Digital's management acknowledged these risks in forward-looking statements, cautioning that future outcomes may differ materially from current expectationsForward-Looking Statements from BitMine’s SEC Filings^[10].

Despite these challenges, Bit Digital's aggressive accumulation strategy has set a precedent for institutional Ethereum adoption. By positioning itself as a major player in the token economy, the firm aims to capitalize on Ethereum's network effects as AI and blockchain infrastructure mature. With $365 million newly injected into its treasury and a clear roadmap to 5% ownership, Bit Digital's actions underscore the growing legitimacy of Ethereum as a strategic asset class.