Bitmine has made significant waves in the cryptocurrency market by acquiring 46,255 ETH, valued at approximately $201 million, from a BitGo wallet dispersed across three addresses. As reported by Onchain Lens, a blockchain analytics platform, this move brings Bitmine’s total ETH holdings to 2,126,018, which is currently worth an impressive $9.24 billion.
The breakdown of the transaction reveals that while one wallet has been identified as belonging to Bitmine, the identities of the other two wallets remain undisclosed. This latest purchase underscores Bitmine’s unwavering confidence in Ethereum (ETH) as a long-term investment asset. As of August 31, the company held 1,866,974 ETH at an average acquisition cost of $3,883.
This recent development follows closely on the heels of Bitmine’s previous acquisition of 80,325 ETH for roughly $358 million, sourced from Galaxy Digital and FalconX. The firm has publicly stated its ambition to hold 5% of Ethereum’s total supply, a move that further consolidates its position as a leading player in the crypto space.
Furthermore, on Monday, Bitmine announced that its total crypto and cash holdings now exceed $9.21 billion, making it the largest ETH treasury entity in the world. This achievement positions Bitmine just behind Michael Saylor’s Bitcoin Strategy, which has amassed nearly $73 billion in BTC.
Thomas Lee, Chairman of Bitmine, articulated the strategic thinking behind the firm’s investments, emphasizing the benefits of holding large quantities of ETH. “The power law benefits large holders of ETH, hence, we pursue the ‘alchemy of 5%’ of ETH,” he stated. Lee further posits that Ethereum could represent “one of the biggest macro trades over the next 10-15 years,” highlighting the ongoing shift on Wall Street towards blockchain technology largely occurring on the Ethereum network.
The recent purchase of 46,255 ETH signals that institutional investors are reinforcing their positions, even amidst volatile market conditions. Discussions within the crypto community suggest that such large withdrawals can diminish exchange liquidity, thus fostering a bullish outlook for the asset. In the past 24 hours, Ethereum’s value has risen by 2.29%, positioning it just above $4,400, and outperforming the broader cryptocurrency market.
