1. Why did Bitmine suffer such a large loss?
Most of its Ethereum was bought at higher prices between $3,600 and $3,900, while ETH later dropped to near $2,300–$2,400.
2. How much Ethereum does Bitmine currently hold?
The company holds about 4.24 million ETH, making it one of the largest single corporate holders of Ethereum.
3. What role does staking play in this strategy?
Around 2 million ETH is staked, which provides rewards but also locks funds and reduces liquidity during sudden market changes.
4. Is this loss permanent?
No, it is an unrealized loss. If Ethereum prices rise again, the value of holdings could recover over time.
5. Why is this strategy considered risky?
Relying on a single asset exposes the company to extreme price swings and increases financial and operational pressures during downturns.