Bitmine has received shareholder approval for a significant capital increase. Will it buy more ETH?

Bitmine Immersion Technologies at the annual shareholders’ meeting on January 15th, a key proposal was approved with 81% support. This proposal authorizes the company to significantly increase the statutory share capital limit from the original 500 million shares to 50 billion shares.

The company emphasizes that this does not mean an immediate issuance of new shares but rather reserves ample space for future strategic initiatives—whether it is fundraising, mergers and acquisitions, or further increasing holdings of Ethereum (ETH).

01 Shareholder Resolution

Bitmine’s expansion plan has received the backing of the vast majority of shareholders. At the annual shareholders’ meeting on January 15th, “Proposal No. 2” to increase the statutory share capital limit was approved with 81% of the votes.

This resolution authorizes the company to increase the maximum number of shares it can issue from 500 million to 50 billion, a 100-fold increase. The management team explicitly stated in a subsequent press release that this move is to enhance financial flexibility.

The increase in authorized share capital means that, at the legal level, Bitmine has obtained a channel to raise substantial funds in the future through the issuance of new shares. This clears the way for potential large-scale financing, strategic acquisitions, or continuous increases in core crypto assets.

02 Core Assets

The confidence supporting such grand plans by Bitmine stems from its massive crypto asset reserves. The company is currently the world’s largest enterprise-level holder of Ethereum.

According to information released by the company, it currently holds 4,203,000 ETH, accounting for about 3.5% of Ethereum’s total circulating supply. Meanwhile, the company is actively staking its ETH holdings to generate yields.

As of recent, the amount of ETH staked has reached approximately 1.83 million, valued at about $5.5 billion at current prices, representing roughly 44% of its total holdings. The company expects that when all its ETH assets are staked, it will generate over $1 million in staking rewards daily.

In addition to Ethereum, Bitmine’s asset portfolio also shows diversification.

03 Strategic Layout

Bitmine’s recent moves clearly show that its strategy is far more than passive asset holding. The company is actively transforming from a simple “asset holder” to an “ecosystem builder.”

A landmark initiative is a $200 million investment in Beast Industries. This investment aims to help Bitmine expand its global user base and penetrate the financial services sector related to decentralized finance (DeFi).

Meanwhile, Bitmine is also building its own staking infrastructure, called the “U.S. Made Validator Network” (MAVAN), which is expected to launch in early 2026, aiming to provide “top-tier secure staking solutions.”

Chairman Tom Lee has long been an advocate of cryptocurrencies, especially Ethereum. He has publicly called for a “100x Ethereum supercycle” and set a long-term Ethereum price target of $250,000 per ETH.

This implies he believes Ethereum has the potential to rise over 8,115% from its current levels.

04 Market Performance

Despite the grand strategy, Bitmine is currently experiencing volatility along with the entire crypto market. Its stock (ticker: BMNR) closed at $28.24 on January 20th, down 9.37% for the day.

The stock performance to some extent reflects market concerns. On one hand, the company’s recent quarterly report showed a net loss of $5.2 billion in Q1 (a loss of $15.98 per share), raising questions about its execution and profitability.

On the other hand, the significant increase in share capital authorization introduces potential dilution risks. Management has assured shareholders that any future issuance of new shares will not be below the company’s market net asset value (mNAV). Currently, BMNR’s stock price is about 0.86 times its mNAV.

The price of its core asset, Ethereum, is also under pressure. On January 21st, ETH briefly fell to around $2,920, down more than 40% from its all-time high of $4,946 in August 2025.

05 Industry Impact

Bitmine’s aggressive strategy has sparked widespread attention in the crypto mining and investment communities. It positions itself at the intersection of crypto mining, staking, and on-chain asset management.

Its large-scale ETH holdings and staking activities essentially represent long-term, substantial capital investments into the Ethereum network. This enhances the security and stability of the Ethereum network, as more ETH staked means higher costs for attacking the network.

For investors, Bitmine offers a unique listed company investment target focused on the Ethereum ecosystem. Its performance is closely tied to Ethereum’s price, staking yields, and ecosystem development depth.

Market analysts point out that key future observations will include: how quickly management will utilize the newly authorized share capital, how the investment in Beast Industries will be integrated and generate synergies, and whether the newly appointed COO and CFO can bring clearer capital allocation and risk management strategies.

Future Outlook

As of January 20th, Bitmine’s stock closed at $28.24. Its holdings of 4,203,000 ETH, valued at over $120 billion based on the current Gate price of about $2,950, are substantial.

With shareholder approval of the “ammunition,” the next steps for Bitmine are particularly critical. The market is watching whether this largest Ethereum holder will successfully implement its “5% Ethereum vision” or fall into difficulties amid market volatility and its own losses.