BitMine announces that ETH Holdings have surpassed the $500 million milestone! After a single-day big pump of 45%, the stock price has retraced.

ETH Holdings Break Through 500 Million USD Triggering Stock Price Fluctuations

At the end of June, BitMine announced a private placement financing to increase its holdings of Ethereum, and this Monday it reached a milestone—its total ETH holdings value surpassed 500 million dollars. The news drove the stock price to soar to 59 dollars in the morning session, a staggering increase of 45% compared to last Friday's closing price of 40.62 dollars. However, as the price of ETH retreated, the stock price closed back at 41.02 dollars, with an intraday gain narrowing to 1%; the value of ETH holdings fell below 490 million dollars.

It is worth noting that the company's stock price has shown extreme volatility in the past month:

• Monthly closing price range 4.26-135 USD
• Cumulative increase of 727% in the past month
• Due to the extreme volatility, the weekly line is still down 62%.

Chairman of the Board: ETH Holdings Verification Strategic Transformation

The new chairman of the board, Fundstrat Global Advisors managing partner Thomas Lee stated: "Holding $500 million in ETH validates our strategic direction to increase our holdings in the Ethereum network." This well-known Wall Street analyst cited the views of Robinhood CEO Vlad Tenev, emphasizing: "Tokenization is the greatest innovation in capital markets since the centralized limit order book, showing that Wall Street is converging into the crypto space."

Lee particularly pointed out: "Ethereum is the largest Layer-1 public chain by market share," implying that the company will continue to implement the ETH treasury strategy. Currently, BitMine holds 163,142 ETH, worth approximately 490 million dollars at the current price of 3000 dollars.

Mining Company Transformation: From BTC Mining to Crypto Asset Allocation

As Bitcoin's fourth halving ( halving ) leads to a decline in miner earnings, several listed mining companies are beginning to explore alternative sources of income:

• BIT Mining announced last week that it has raised $200-300 million to establish the Solana(SOL) treasury, with its stock price soaring 143% in a single week.
• SharpLink Gaming has seen its stock price increase by over 300% this year after transitioning to an ETH holdings strategy.
• Industry pioneer Strategy ( MSTR ) has transformed into a Bitcoin Holdings company since 2020, with its stock price increasing nearly 3000%.

Lee proposed the concept of "sovereign put": "When a company holds 5% of the token supply of a certain network, it will receive a backing similar to that of a national asset. The Ethereum treasury may also receive protection akin to a 'Wall Street put'."

Market Reaction and Industry Trends

As the second largest cryptocurrency with a market value of $363 billion, Ethereum's ecosystem covers multiple areas including decentralized exchanges (DEX), blockchain games (GameFi), NFT platforms, and more.

Analysts believe that the large-scale allocation of ETH by mining companies reflects three trends:

1. The strategy transformation of PoW miners against diminishing returns
2. Recognition of the long-term value of the Ethereum ecosystem by institutions
3. Public companies obtain capital market premiums through cryptocurrency asset allocation.