Summary
- BitMine said it purchased an additional 60,999 Ethereum over the past week, expanding holdings to 4,595,562 ETH (3.81% of circulating supply).
- The company is accelerating accumulation with a goal of securing 5% of Ethereum, and has staked 3,040,515 ETH (66%), generating an annualized 2.81% yield and about $180 million in annual income.
- BitMine said it plans to launch its staking infrastructure “MAVAN” in Q1, and reported total assets of $11.5 billion as well as crypto outperforming the S&P 500 by 2,450 bp.
Forecast Trend Report by Period
BitMine, the world’s largest corporate holder of Ethereum (ETH), has expanded its total holdings to 4,595,562 ETH after purchasing an additional 60,999 ETH over the past week.
According to PR Newswire on the 16th, BitMine said it held 4,595,562 ETH as of the 15th. That amount represents 3.81% of total ETH in circulation. The company is gradually accelerating accumulation with a target of securing 5% of ETH.
The company said it slightly increased the pace of purchases over the past two weeks. Tom Lee, chairman of BitMine, said, “Our base case is that Ethereum is entering the final stage of a ‘mini crypto winter,’” adding, “We bought 60,999 ETH last week. That is above the recent average weekly purchase volume (45,000–50,000).”
Of BitMine’s Ethereum holdings, 3,040,515 ETH is currently staked, accounting for about 66% of the total. As of the 7th, the annualized yield is 2.81%, and annual staking income amounts to roughly $180 million. The company said that if it stakes all of its ETH going forward, annual staking rewards could expand to as much as $272 million.
In addition, BitMine plans to launch its proprietary staking infrastructure, the “Made in America Validator Network (MAVAN),” in the first quarter of this year. It is currently working with three staking operators and plans to build “best-in-class” staking infrastructure through MAVAN.
Meanwhile, BitMine’s total crypto, cash and strategic investment assets were tallied at $11.5 billion. In addition to 4.59 million Ethereum, the total includes 196 Bitcoin, $1.2 billion in cash, a $200 million stake in Beast Industries, and an $83 million stake in Aiteco Holdings (ORBS).
Commenting on recent market moves, Lee said, “Since the Iran war, cryptocurrencies have generated 2,450 bp of excess returns versus the S&P 500,” adding, “Rising oil prices are fueling concerns about a slowdown in global growth, and investors tend to buy growth stocks and cryptocurrencies at the same time.” He added, “Cryptocurrencies are moving in tandem with software stocks.”
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
