Bit Digital Inc., a public crypto mining company, shared on Friday that it has added 19,683 more ether (ETH) to its treasury. According to the press release, the company used funds from its recent $67.3 million direct offering to institutional investors to buy more ETH.
With that, Bit Digital now holds about 120,306 ETH, which at the current market price is valued at around $436 million. The latest acquisition put the firm amongst the top public Ethereum holders. Only two companies hold more: SharpLink Gaming, which holds 353,000 ETH, and BitMine Immersion, with 300,657 ETH, according to a recent report.
Bit Digital said this is a long-term investment to grow its Ethereum treasury over the coming years. Meanwhile, Ethereum ETH is trading above $3,500 at the time of writing this report. It briefly surged to $3600 earlier today but has since dropped. This is its highest level in the last six months, after jumping 20% in just one week.
The firm’s decision to buy more ETH comes as the idea of an ETH holding spreads across corporate entities. More people are putting money into Ethereum, especially with the rise of spot ETH ETFs. According to data from Coinglass, trades from ETH ETFs recently made up over 10% of all ETH market activity.
Bit Digital said its strategy is inspired by the successful treasury model used by companies that stockpile bitcoin to drive shareholder value. In a statement, Bit Digital CEO Sam Tabar said, “We view Ethereum as foundational to the next phase of digital financial infrastructure.”
He also said the company is focused on growing its ETH holdings and believes that Ethereum’s smart contract features and staking rewards make it a strong investment for the future. Bit Digital also stakes its ETH. The company runs Ethereum validators, which help power the network and earn yield in return. This setup gives the firm a way to earn from its holdings while supporting the blockchain.
Also Read: BitMine Now Holds $1B in Ethereum Treasury Joins SharpLink
