BitMine Immersion Technologies experienced a significant 400% stock surge on Monday after announcing a major pivot to launch an ethereum treasury play, backed by Wall Street legend Tom Lee as the company’s new Chairman. The company revealed a $250 million private placement to accumulate ether as part of its treasury strategy, attracting prominent investors from both traditional finance and crypto venture capital, including Pantera Capital and Galaxy Digital.
“This transaction includes the highest quality investors across TradFi and crypto venture capital, properly reflecting the rapid and continued convergence of traditional financial services and crypto,” Lee stated, highlighting the growing integration between traditional finance and cryptocurrency markets. Lee, known for his appearances on CNBC, has previously expressed his belief that Ethereum stands to benefit significantly as traditional finance moves onchain, particularly with the increasing use of stablecoins.
The move by BitMine follows a successful strategy employed by Michael Saylor’s Bitcoin treasury company, Strategy, which has seen its shares rise by 1,700% since early 2023 through stacking Bitcoin and leveraging debt and shares against these holdings. Ethereum co-founder Joe Lubin was among the first to adapt this strategy to Ethereum through SharpLink gaming, resulting in significant stock fluctuations as investors assess the potential upside.
