Kerrisdale Capital Targets BitMine Immersion Technologies with Short-Selling Report

Kerrisdale Capital has released a short-seller report on BitMine Immersion Technologies, arguing that investors no longer have a reason to pay a premium for indirect crypto investment vehicles like BMNR. The report claims that BMNR's strategy of issuing new shares at a premium and using funds to purchase more Ethereum is no longer working, leading to dilution and a collapse in NAV premium. BMNR has issued over $10 billion in new shares in three months, but its per-share growth has slowed significantly. Prominent investors like Peter Thiel and Cathie Wood remain bullish on BMNR's crypto-centric strategy and aggressive ETH accumulation.

Kerrisdale Capital has released a short-seller report on BitMine Immersion Technologies, Inc. (BMNR), alleging that the company's business model is failing and that investors no longer have a reason to pay a premium for indirect crypto investment vehicles like BMNR. The report, published by Kerrisdale Capital, a well-known activist short-selling firm, argues that BMNR's strategy of issuing new shares at a premium and using the funds to purchase more Ethereum is no longer effective, leading to dilution and a collapse in the Net Asset Value (NAV) premium.

According to the report, BMNR has issued over $10 billion in new shares in just three months. While its total Ethereum (ETH) holdings have continued to increase, the growth rate of ETH per share has slowed significantly. The report claims that BMNR's mNAV premium plummeted from over 2.0x in August to around 1.2x a month later, indicating a significant decline in the value of the company's shares relative to its NAV Tom Lee’s BitMine Targeted in Short-Seller Report^[1].

Kerrisdale Capital also accused BMNR of becoming less transparent in its disclosures as its "flywheel" began to slow down. Since August 25, BMNR has subtly excluded its updated share count and NAV-per-share figures from its weekly press releases, which Kerrisdale interprets as BMNR hiding the metrics it once used to prove its growth as its per-share growth slows down Tom Lee’s BitMine Targeted in Short-Seller Report^[1].

Despite the bearish view presented by Kerrisdale Capital, there is a strong counter-argument that BMNR has a bright future. Prominent investors believe its crypto-centric strategy and aggressive ETH accumulation are innovative. Peter Thiel, a famous Wall Street investor and early BMNR investor, has disclosed a 9.1% stake in the company. ARK Invest, a fund known for its focus on tech stocks led by Cathie Wood, currently holds 6,456,242 shares (3.61%) of BMNR Tom Lee’s BitMine Targeted in Short-Seller Report^[1].

BMNR's stock price, which had climbed past $63.00 on Tuesday, saw a minor drop after the Kerrisdale Capital short report was released, and closed at $60.00 per share on Wednesday. However, the company remains supported by a premier group of institutional investors, including ARK’s Cathie Wood, MOZAYYX, Founders Fund, Bill Miller III, Pantera, Kraken, DCG, Galaxy Digital, and personal investor Thomas “Tom” Lee BitMine Immersion (BMNR) Announces ETH Holdings Exceeding 2.83 Million Tokens and Total Crypto and Cash Holdings of $13.4 Billion^[2].

BitMine Immersion Technologies, Inc. (BMNR) announced on October 6, 2025, that its ETH holdings exceed 2.83 million tokens and total crypto and cash holdings of $13.4 billion. The company remains the largest ETH treasury in the world, with a focus on the accumulation of Crypto for long-term investment BitMine Immersion (BMNR) Announces ETH Holdings Exceeding 2.83 Million Tokens and Total Crypto and Cash Holdings of $13.4 Billion^[2].