Ethereum’s rising appeal to institutional investors has taken a major leap forward, with Peter Thiel’s Founders Fund acquiring a 9.1% stake in BitMine Immersion Technologies. This move adds momentum to the emerging trend of companies building significant Ethereum treasuries alongside or even instead of Bitcoin.
According to a recent SEC filing, Thiel-affiliated entities collectively purchased over 5 million shares of BitMine, a crypto mining and treasury management firm, solidifying their position as one of the largest stakeholders. The acquisition follows BitMine’s reveal in late June of a private funding round, which included participation from other high-profile investors like Pantera Capital, Galaxy Digital, and Kraken.
The proceeds from the sale of more than 55 million shares at $4.50 each are being used to expand BitMine’s Ethereum reserves—now totaling more than $500 million. This strategic accumulation highlights growing confidence in Ethereum’s long-term value among institutional players.
BitMine’s Ethereum Bet and Market Response
BitMine’s pivot toward Ethereum has been met with sharp market reactions. On Monday, the company’s stock (BMNR) surged by 45%, hitting an intraday peak of $59, up from Friday’s closing price of $40.62. However, the price later fell back to $41.02, indicating volatility and investor caution.
This kind of price movement has become typical for BitMine, whose stock has fluctuated dramatically since it began focusing on building an Ethereum-based treasury. Prices have ranged from just over $4 to as high as $135 in recent months.
The volatility, however, has not stopped major players from getting involved. BitMine recently appointed Tom Lee, co-founder of Fundstrat and a well-known crypto market strategist, as Chairman of the Board, further aligning its direction with experienced institutional insight.
Ethereum Treasuries Gaining Ground
Until recently, Bitcoin was the go-to digital asset for corporate treasuries, with Ethereum trailing behind. But the narrative is shifting. Ethereum is no longer seen solely as a platform for decentralized applications but also as a multifunctional financial asset.
According to Ryan Chow, CEO of BTCFi and co-founder of the Bitcoin reserve protocol Solv, Ethereum’s role is significantly more complex than Bitcoin’s. He describes it as “digital oil”—an asset used for staking, gas fees, collateral, and smart contract execution across the decentralized finance (DeFi) ecosystem.
This complexity, Chow explains, is a double-edged sword. It makes Ethereum harder to underwrite than Bitcoin, which has a clear narrative as a “store of value.” However, the functional utility of Ethereum presents major upside potential.
“Ethereum is the asset of participation and preservation,” Chow said. “It’s becoming increasingly valuable to corporate treasuries looking for more than passive holdings. They want digital assets that do something.”
Institutional Support for Ethereum Grows
BitMine isn’t the only firm moving in this direction. Earlier this month, SharpLink Gaming revealed it had acquired $225 million worth of Ethereum, claiming one of the largest corporate ETH holdings. This was notable not just for the size of the purchase, but also for the Ethereum ties at the leadership level—SharpLink board chairman Joe Lubin is a co-founder of Ethereum.
Institutional interest in Ethereum also has historical roots. In 2014, Vitalik Buterin, Ethereum’s co-founder, received a $100,000 grant from the Thiel Foundation, allowing him to work on Ethereum full-time after leaving university. That early bet on Ethereum’s potential is now being echoed in large-scale treasury allocations and investment decisions.
Ethereum: From Store of Value to On-Chain Infrastructure
What’s emerging is a new phase of digital asset strategy. Bitcoin still dominates in terms of total corporate holdings, but Ethereum is making clear inroads. Its active utility, whether for DeFi transactions, staking rewards, or powering dApps, provides a compelling case for treasuries that want to align with the evolving blockchain ecosystem.
With BitMine’s Ethereum holdings now exceeding $500 million, and a growing number of investors like Peter Thiel’s Founders Fund joining in, it’s clear that Ethereum treasuries are no longer an experiment—they’re becoming a trend.
As institutional adoption accelerates, the digital assets that provide real-world functionality are likely to gain more traction. And Ethereum, with its infrastructure at the core of the on-chain economy, seems poised to benefit most from that shift.
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