BitMine Bets Big: $1B Buyback Follows $2.3B ETH Hoard – A 5% Ethereum Grab in Sight?

BitMine Immersion Technologies (BMNR) has kicked off a $1 billion stock buyback program as its Ethereum (ETH) holdings soar past 625,000 ETH, worth $2.3 billion, cementing its position as the largest corporate holder of the asset to date.

The company’s open-ended buyback, revealed July 29, allows it to repurchase shares via open-market or private deals, with no expiry. It’s the latest move in BitMine’s escalating bid to accumulate 5% of Ethereum’s total supply.

BitMine to Repurchase Shares as Part of Long-Term Ethereum Strategy

“In our road to achieving ‘the alchemy of 5%,’ there may be times when the best expected return of our capital is to acquire our own shares,” said chairman Tom Lee, who also leads Fundstrat.

With ETH trading at $3,755 and BTC at $118,021 on July 28, BitMine’s net asset value per share hit $22.76, bolstered by $401.4 million in unencumbered cash, 192 BTC, and its ETH treasury.

The announcement comes just days after BitMine revealed its goal to acquire and stake 5% of Ethereum’s total supply, approximately six million ETH, depending on Ethereum’s issuance. If successful, the company would hold a larger share of ETH than MicroStrategy does of Bitcoin.

Just last week, the company revealed a stunning 566,776 ETH purchase in only 16 days, worth $2.03 billion at the time, vaulting it ahead of rivals like SharpLink Gaming and even the Ethereum Foundation.

BMNR shares have exploded more than 3,000% since early July, reaching $135 following the announcement of its Ether accumulation plan. The company’s options on its stock began trading on the New York Stock Exchange in July, giving investors new tools to engage with the company’s equity.

Meanwhile, competitors are scrambling to catch up. SharpLink added 77,210 ETH over the weekend, bringing its total to 438,017 ETH, worth $1.7 billion. But BitMine still holds the lead in what’s shaping up to be the crypto space’s most aggressive treasury accumulation race.

Institutional Accumulation and On-chain Trends Indicate Structural Bullishness for ETH

Currently, 6.73% of all ETH, or about 8.12 million tokens worth over $31 billion, is held collectively by corporations and ETFs, according to data from Strategic ETH Reserve (SER).

The total strategic Ethereum reserves account for 2.33 million ETH, valued at $8.9 billion and representing 1.93% of the total ETH supply. The reserves include 65 participants and have seen a steady increase in holdings since mid-April, with a sharp rise beginning in late June.

Meanwhile, ETH ETFs hold 5.82 million ETH, valued at $22.23 billion. Inflows have been consistent, with 17 consecutive days of net additions totaling more than 433,000 ETH during the past week alone.

This uptick reflects renewed institutional interest and capital allocation to Ethereum-based products. Combined, the Ethereum reserves and ETFs now hold nearly 7% of the entire ETH supply.

Ethereum’s supply dynamics continue to show bullish structural signs. Over 34 million ETH, around 28% of the total 120.7 million supply, is currently staked. This staked amount is effectively locked and unavailable for trading, reducing the liquid supply and indicating long-term investor confidence.

Exchange balances have also hit a multi-year low of 16.2 million ETH, the lowest level since 2016. This drop in sell-side liquidity supports upward price pressure, especially as demand increases.

According to Glassnode, the amount of ETH held by first-time buyers has risen by 16% since early July, hinting at a fresh wave of retail and institutional adoption. Analysts at Glassnode called it the first meaningful trend reversal in recent ETH cycles.

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