Bitmine Nears 5% of Ethereum Supply Despite $8.4B in Unrealized Losses

What happened: Bitmine Immersion Technologies now controls 5,815,164 ETH (about $11 billion), representing roughly 4.8% of Ethereum’s circulating supply and approaching its stated "Alchemy of 5%" target. The company added nearly 10,000 ETH last week, but its treasury strategy—launched in June 2025—remains under water, with unrealized losses exceeding $8.4 billion (about 43% of portfolio value). Over 5 million ETH is staked, projected to generate $250–287 million in annual rewards at current yields.

Why it matters: Bitmine’s aggressive accumulation has made it one of the largest non-custodial holders of ETH, but the scale of unrealized losses raises questions about the sustainability of its treasury approach. The company has also reduced its weekly share buyback for the third consecutive week, signaling possible capital constraints. While some analysts see Bitmine’s strategy as a long-term bet on Ethereum’s role in tokenization and AI, the immediate financial strain is hard to ignore.

Source: Cointelegraph