Ethereum News Today: BitMine's 'Alchemy of 5%': Ethereum Treasury Surpasses $11 Billion

BitMine Immersion Technologies has solidified its position as the world's largest corporate Ethereum (ETH) holder, amassing 2.65 million ETH as of September 2025-valued at approximately $11 billion-according to multiple disclosures. This represents over 2.5% of the total circulating ETH supply and surpasses the second-largest treasury, SharpLink Gaming, which holds 797,700 ETH valued at $3.43 billion. BitMine's accumulation strategy, dubbed the "alchemy of 5%" by its chairman Tom Lee, aims to acquire 5% of Ethereum's total supply, a threshold requiring an additional $10 billion in ETH at current prices. The company's total crypto and cash holdings now approach $11.6 billion, including 192 Bitcoin (BTC) and $569 million in unencumbered cash.

The firm's aggressive buying spree has accelerated since late August, with a reported 234,846 ETH added in a single week alone. This follows a $980 million ETH purchase in July, which pushed its holdings to 1.87 million ETH. BitMine's stock price has mirrored this momentum, surging 41% over the past month and 1,100% since June, driven by institutional confidence and strategic capital raises. Cathie Wood's ARK Invest increased its stake by $15.6 million in August, bringing its total investment to over $300 million. The stock's recent 6% rise on news of the ETH acquisition highlights market validation of BitMine's treasury strategy.

BitMine's approach diverges from traditional Bitcoin-focused treasuries like MicroStrategy, leveraging Ethereum's staking yields to generate 3-4% annual returns while using immersion cooling technology to reduce mining costs by 25-30%. This dual-income model has attracted institutional backing, including Founders Fund and Pantera Capital, which view Ethereum as a cornerstone of the onchain financial system. Lee, also head of research firm Fundstrat, has emphasized Ethereum's role in tokenizing real-world assets and facilitating AI-driven blockchain infrastructure, positioning it as a "neutral public blockchain" critical for future financial systems.

Market dynamics underscore BitMine's strategic alignment with Ethereum's growth. Ethereum has outpaced Bitcoin in institutional inflows for two consecutive months, with ETFs attracting $3.95 billion in net inflows in August compared to Bitcoin's $301 million. BitMine's stock has become the 25th most liquid equity in the U.S., trading $2.2 billion daily, while its ETH holdings now represent 10% of all institutional Ethereum holdings. Analysts at Pantera Capital note that BitMine's ability to grow its ETH per share (EPS) through stock issuance and staking rewards-rather than relying solely on price appreciation-creates a compounding effect absent in direct token ownership.

Despite its dominance, challenges persist. BitMine's stock recently dipped 18% amid concerns over dilution from a $24.5 billion equity raise, and Ethereum's price volatility-down 5% over the past month-introduces risks. However, Lee maintains a bullish outlook, forecasting ETH could reach $12,000–$15,000 by late 2025, driven by macro trends like AI integration and tokenization. Regulatory developments, including the GENIUS Act's passage, further bolster confidence in Ethereum's utility as a settlement layer for stablecoins and tokenized assets.

Source: [1] title1 (https://cointelegraph.com/news/bitmine-holds-1-86m-eth-1-5-of-all-ether) [2] title2 (https://www.cryptoview.io/en/news-en/how-much-ethereum-does-bitmine-hold-after-recent-acquisitions/) [3] title3 (https://finance.yahoo.com/news/bitmine-reports-10-8-billion-152459071.html) [4] title4 (https://dailyhodl.com/2025/09/15/tom-lees-bitmine-immersion-reveals-10771000000-ethereum-bitcoin-and-moonshots-treasury/) [5] title5 (https://247wallst.com/investing/2025/09/02/analysts-agree-bitmine-immersion-is-the-reason-behind-ethereum-beating-bitcoin/) [6] title6 (https://www.okx.com/learn/eth-price-bitmine-ethereum-strategy) [7] title7 (https://panteracapital.com/blockchain-letter/dat-value-creation/)