A second major corporate player in the cryptocurrency market is now mirroring the investment approach of the first. Bitmine Immersion Technologies, led by Fundstrat's Tom Lee, has purchased 101,901 ether, valued at approximately $234 million, marking its largest weekly acquisition this year. This move is reminiscent of Strategy, the Michael Saylor-led digital treasury company, which regularly buys bitcoin. As noted by crypto trader Luke Martin, Bitmine's purchase is comparable to Strategy's typical weekly buys of $200-300 million, excluding large purchases fueled by at-the-market sales of its perpetual preferred stock, STRC.
The purchase marks the end of a four-month period of escalating buys, which started at around $76 million per week in early January, and brings Bitmine's total holdings to over 5 million tokens, representing about 4.21% of the circulating supply of the second-largest cryptocurrency. This development is significant as Bitmine is now the only major corporate crypto buyer keeping pace with Strategy. Most digital asset treasury companies paused or slowed accumulation during the February price drop, but Bitmine has continued to buy, with Lee stating that ETH is in the late stages of a 'mini-crypto winter' and that a bottom is forming in equity markets. The firm has staked about 73% of its tokens, generating roughly $264 million in annualized revenue from yield, with total crypto and cash holdings of $13.3 billion as of early April.
Both firms employ similar capital markets strategies to purchase crypto assets, with Strategy using preferred stock and convertible debt, and Bitmine using equity issuance. Despite facing pressure in February and early March, when it was sitting on nearly $8 billion in unrealized losses, Bitmine continued to buy, and its accumulation pace has not only held but accelerated.
If this pattern continues, ether will have a consistent corporate buyer absorbing supply each week, regardless of price, for the first time.