BitMine Immersion Technologies has announced a $250 million private placement to support a new Ethereum treasury strategy, with Fundstrat founder Tom Lee stepping in as the new Chairman of the Board. The offering is set to close around July 3, subject to standard conditions.
According to the press release, the company plans to sell over 55 million shares of common stock at $4.50 each. Proceeds will be used to buy Ethereum (ETH), which will become BitMine’s main treasury reserve asset. BitMine aims to boost its ETH holdings by more than 16 times following the deal. The funds raised came from a mix of cash and crypto.
The transaction was led by MOZAYYX and backed by a group of major crypto and traditional finance investors. Participants include Founders Fund, Pantera, Galaxy Digital, Kraken, FalconX, Republic Digital, DCG, Diametric Capital, Occam Crest Management, and Tom Lee himself. BitMine expects this to position it as one of the largest public holders of ETH.
“This transaction includes the highest quality investors across trad-fi and crypto venture capital, properly reflecting the rapid and continued convergence of traditional financial services and crypto,” said Tom Lee in a statement.
In light of this, CEO Jonathan Bates said the new funds will expand BitMine’s Ethereum holdings shortly after its first ETH purchase on June 9. The company will also work with FalconX, Galaxy, and Kraken to develop a world-class Ethereum treasury system. BitGo and Fidelity Digital will serve as custody partners.
BitMine plans to use its ETH to access native Ethereum features such as staking and decentralized finance. Lee highlighted the growing stablecoin market as a key driver for this move. “Stablecoins have proven to be the ‘ChatGPT’ of crypto,” he said. He added that Ethereum is where most stablecoin payments happen, making it a smart place for long-term growth.
Legal and advisory roles were handled by ThinkEquity, Cantor Fitzgerald, Winston & Strawn LLP, Greenberg Traurig LLP, and others. The offering was made under Regulation D of the Securities Act.
Also Read: VanEck Raises Red Flag on Corporate Bitcoin Buying
