BitMine Nears 5% Ethereum Supply Target as Holdings Reach 5.85M ETH

2 hour ago 4 sources positive

Key takeaways:

  • BitMine's accelerated ETH accumulation signals strong institutional conviction despite concentration risks.
  • Tom Lee's historical rally comparisons suggest upside potential, but past performance warrants measured caution.
  • Staking income bolsters BitMine's treasury, reinforcing a long-term bullish ETH accumulation strategy.

BitMine has accelerated its Ethereum accumulation campaign and now controls approximately 4.8% of the entire ETH supply. The Tom Lee-chaired company acquired 32,447 ETH over the past week, lifting its total holdings to 5,847,611 ETH as of August 23. With Ethereum's price climbing to $2,440 on the previous day, the position was valued at roughly $14.3 billion, about $3 billion higher than the prior week.

The latest purchase was confirmed on August 24 and brings BitMine to 97% completion of its “Alchemy of 5%” strategy, an initiative launched in late June 2025 to control 5% of Ethereum's 120.7 million token supply. Ethereum has rallied sharply from around $1,900 last Wednesday, gaining nearly 30% and briefly topping $2,500, marking its largest weekly surge since May 2025.

Tom Lee noted that comparable weekly rallies in July 2021 and May 2025 were followed by gains of 167% and 170%, respectively, though he cautioned that historical performance does not guarantee a repeat. BitMine's latest acquisition was also significantly larger than recent weekly purchases of roughly 10,000 ETH.

Staking remains a central component of BitMine's strategy. The company has staked 5,067,300 ETH, worth approximately $12.4 billion at current prices, representing 87% of its total Ethereum treasury. Based on a seven-day annualized yield of 2.67%, staking revenue is projected at about $330 million annually. If the entire portfolio were staked through its institutional platform MAVAN, projected annualized revenue could rise to $381 million. BitMine also holds $308 million in cash and securities, with total assets now reported at $14.9 billion.

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