Is holding virtual assets okay…Bitmine's Ethereum investment losses near 2.4 billion dollars

As the business model of stockpiling virtual assets (cryptocurrencies) has attracted significant attention this year, many digital asset treasury (DAT) companies have emerged. However, with the recent turn of the virtual asset market into a bear market, some companies have been revealed to suffer large losses.

On the 5th (Korean time), according to Strategic Ether Reserve, Ethereum (ETH) largest holder Bitmine has currently purchased about 3.4 million ETH (about 11.32 billion dollars) at an average price of 4037 dollars. The resulting investment loss amounts to about 2.4 billion dollars.

Sharplink Gaming, the second-largest holder of Ethereum, also suffered large losses. Sharplink holds 860,000 ETH, and its investment loss reaches 170 million dollars.

As Ethereum's decline deepened, the mNAV of both companies fell below 1. mNAV is an indicator obtained by dividing a company's market capitalization by the net asset value (NAV) of the virtual assets it holds. If mNAV is above 1, it means the market values the company higher than its assets; conversely, if it is below 1, the market values the company below its asset value.