Ethereum News Today: BitMine Launches $1B Buyback Amid $2.3B ETH Investment Solidifying Largest Corporate Holdings

BitMine Immersion Technologies (BMNR) has launched a $1 billion stock buyback program amid a record $2.3 billion investment in Ethereum (ETH), solidifying its position as the largest corporate holder of the cryptocurrency. The company’s open-ended buyback, announced July 29, allows repurchases through open-market or private transactions, with no expiration date. This move aligns with BitMine’s broader strategy to accumulate 5% of Ethereum’s total supply, a target that would surpass MicroStrategy’s Bitcoin holdings in scale.

Chairman Tom Lee, also founder of Fundstrat, emphasized the strategic rationale behind the buyback, stating, “In our road to achieving ‘the alchemy of 5%,’ there may be times when the best expected return of our capital is to acquire our own shares.” BitMine’s net asset value per share reached $22.76 as of July 28, supported by $401.4 million in unencumbered cash, 192 BTC, and its growing ETH treasury.

The buyback follows a recent surge in Ethereum acquisitions. In 16 days, BitMine purchased 566,776 ETH, valued at $2.03 billion at the time, outpacing rivals like SharpLink Gaming and even the Ethereum Foundation. Competitors are responding: SharpLink added 77,210 ETH over the weekend, bringing its total to 438,017 ETH ($1.7 billion). However, BitMine retains its lead in the race to accumulate corporate Ethereum holdings.

BitMine’s shares have surged over 3,000% since early July, reaching $135 post-announcement, with options on its stock now trading on the New York Stock Exchange. Institutional and on-chain trends further underscore Ethereum’s structural strength. Strategic Ethereum reserves, held by corporations and ETFs, now account for 6.73% of the total supply, or 8.12 million ETH worth $31 billion. ETFs alone hold 5.82 million ETH ($22.23 billion), with 17 consecutive days of net inflows adding over 433,000 ETH in the past week.

Ethereum’s staking dynamics reinforce bullish sentiment. Over 34 million ETH (28% of the total supply) is currently staked, effectively reducing liquid supply and signaling long-term confidence. Exchange balances have also dropped to a multi-year low of 16.2 million ETH, the lowest since 2016, further tightening sell-side liquidity.

Analysts note that BitMine’s aggressive accumulation could influence Ethereum’s price trajectory. According to data from Strategic ETH Reserve (SER), corporate and ETF holdings now represent nearly 7% of the total supply. Glassnode reports a 16% increase in ETH held by first-time buyers since early July, signaling renewed retail and institutional adoption. “This is the first meaningful trend reversal in recent ETH cycles,” analysts at Glassnode stated.

BitMine’s $1B buyback and $2.3B ETH hoard highlight its strategic commitment to Ethereum’s long-term value. As the company races toward its 5% target, market watchers are closely monitoring whether this corporate accumulation can catalyze broader Ethereum adoption and price appreciation.

Sources:

[1] https://cryptonews.com/news/bitmine-1b-buyback-23b-eth-hoard-5-percent-target/