Summary
- BitMine said it has slowed the pace of its Ether purchases but is maintaining its goal of securing 5%% of Ethereum’s circulating supply by year-end.
- BitMine said it aims to generate about $352 million in annual rewards by staking all of its holdings, including about 4.7 million ETH currently staked.
- Chairman Tom Lee said Ethereum supply is in disinflation, that circulating supply is shrinking, and that three straight months of gains could signal the start of a bull market.
Forecast Trend Report by Period
BitMine, an Ethereum treasury company, has slowed the pace of its Ether purchases but is keeping its goal of securing 5% of the token’s circulating supply by year-end.
Cointelegraph reported on May 12 that BitMine bought an additional 26,659 ETH last week, down from its earlier pace of more than 100,000 ETH a week.
Chairman Tom Lee said the company would have reached the 5% target far ahead of schedule if it had maintained that pace. It therefore decided to moderate the rate of accumulation.
Even so, BitMine plans to maintain its target of holding 5% of Ethereum’s circulating supply, currently about 120.7 million ETH, by the end of this year.
The company is also pursuing a strategy of staking all of its holdings. About 4.7 million ETH is currently staked, and annual rewards would total about $352 million once all of its holdings are fully staked.
Lee said BitMine plans to hold and stake its Ether for the long term, reducing the amount available in the market. He said Ethereum supply has effectively entered a disinflationary phase.
Lee also remained bullish on the market. He said the crypto market’s spring has begun and that a close above $2,100 at the end of May would mark a third straight monthly gain, which could signal the start of a bull market.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.
