Shares of cryptocurrency firm BitMine Immersion Technologies plunged to a seven-month low, dropping 11% on Thursday. The decline reflects approximately $8 billion in unrealized losses from the company’s massive Ethereum treasury, which holds over 4.2 million ETH. Chairman Tom Lee defended the strategy, stating that such losses are expected during a market downturn and that the firm remains committed to Ethereum as the future of finance.
Shares of publicly traded firm BitMine Immersion Technologies (BMNR) fell 11% Thursday to trade at a seven-month low. The stock recently changed hands around $18.05, its lowest point since its 400% surge last July when the company announced its Ethereum treasury shift.
The company’s unrealized losses on its ETH holdings have now piled up to around $8 billion. This comes as Ethereum’s price fell to near $1,930, down nearly 32% over the past week.
When questioned about the losses on X, BitMine chairman and Fundstrat co-founder Tom Lee stated that “crypto is in a downturn, so naturally ETH is down.” He added, “BMNR will see ‘unrealized’ losses on our holdings of ETH during these times. It’s not a bug, it’s a feature.”
The firm maintains a treasury of 4,285,125 ETH, worth about $8.4 billion at recent prices. Data from analytics platform DropsTab notes the firm is down nearly 49% on its overall investment.
Despite the losses, Lee told investors the firm saw the ETH dip as attractive given strengthening fundamentals. BitMine most recently accumulated 41,788 ETH last week, bringing its total to over 3.5% of the circulating supply.
Ethereum was recently trading more than 61% below its all-time high of $4,946 from August. Prediction market users currently see a nearly 72% chance that Ethereum falls to $1,500 before it can rebound to $3,000.
