Bitmine Immersion Technologies, one of the largest institutional holders among companies with significant ether reserves, has seen a dramatic hit to its treasury as the price of ETH dropped below $1,800. According to DropsTab data, Bitmine’s unrealized losses on its ether holdings have climbed to nearly $8.9 billion, reflecting the volatile landscape facing large-scale crypto treasuries.
Simultaneous downturn in stock and crypto assets
Shares of Bitmine, chaired by Tom Lee, slid another 5.9 percent on Wednesday, dipping below the $17 mark. Since the start of May, Bitmine’s stock has now lost 28 percent of its value, retreating to its lowest level since the company announced its Ethereum-focused treasury strategy in May 2025.
During the same period, ETH revisited its February lows. As the world’s second-largest cryptocurrency by market value, ether has dropped by over 20 percent since early May, a period that closely followed Tom Lee’s public prediction that a brief crypto winter had ended and a new recovery phase was beginning.
While the market value of Bitmine’s ether holdings is now around $10 billion, unrealized losses have grown to $8.9 billion at current prices.
Bitmine’s strategy: Ether accumulation and revenue sources
Within just a year, Bitmine has amassed more than 5.4 million ETH, representing roughly 4.5 percent of Ethereum’s circulating supply. At today’s prices, this position is valued at approximately $10 billion.
The company’s predicament highlights renewed pressure on firms operating with digital asset treasury models. These models involve raising capital from public markets and deploying it to accumulate crypto assets. As crypto prices soften, the value of many public companies’ holdings has now fallen below their net asset values.
Bitmine distinguishes itself from rivals. Unlike competitors that rely on debt financing and thus carry heavy interest and leverage burdens, Bitmine has mainly funded its ether purchases by issuing new shares, reducing its exposure to those pressures.
Bitmine also generates revenue through staking activities and operates a staking service called MAVAN. The company reported staking more than 4.7 million ETH—about 87 percent of its assets. Its annualized staking income is estimated to be nearly $276 million.
Mini glossary: Staking refers to locking assets into specific blockchain networks to help secure the network and validate transactions. In return, participants—whether individuals or companies—receive rewards from the network.
Market pressure persists but long-term outlook holds
Another well-known digital asset treasury company, Strategy, recently announced its first bitcoin sale since 2022. The move rekindled debate over how companies will finance future obligations associated with their preferred stock issuances.
Despite the day-to-day pressures, Tom Lee has not changed his bullish long-term view on ether. Speaking at the Proof of Talk conference in Paris this week, Lee stated that tokenization, AI-driven transactions, and institutional staking could redefine Ethereum’s role in the global financial system, suggesting ETH could hit $250,000 in the long run.
Tom Lee maintains that Ethereum’s position in global finance could be reimagined through tokenization, AI-powered transactions, and institutional staking, which is why he stands by his long-term forecast for the cryptocurrency.
Yet market players remain fixated on short-term price pressures. As ETH tests its February slump levels, Bitmine’s growing losses underline the widening gap between management’s long-term narratives and the market’s current reality.
