TL;DR
- Strategic acquisition: Bit Digital purchased 31,057 ETH worth $140M, lifting its total holdings above 150,000 ETH and making it the sixth-largest Ethereum treasury among public companies.
- Financing method: The move was funded through a $150M convertible notes sale at $4.16 per share, an 8.2% premium to net asset value, with backing from Kraken Financial, Jump Trading Credit, and Jane Street Capital.
- Market position: With 150,244 ETH, Bit Digital now trails only five larger institutional holders, while reserve firms and ETFs collectively control 12.6M ETH worth $56.4B, over 10.3% of supply.
Bit Digital has become the sixth-largest institutional Ethereum holder, after a bold $140 million ETH purchase to expand its Ethereum treasury. Funded through a convertible notes sale, the acquisition highlights the firm’s strategy to bet on Ethereum’s role in digital finance to build its shareholder value.
$140M purchase boosts ETH reserves
The company acquired 31,057 ETH valued at $140 million, bringing its total holdings to more than 150,000 ETH. According to data from StrategicETHReserve.xyz, this makes Bit Digital the sixth-largest Ethereum treasury among public companies. CEO Sam Tabar emphasized that the purchase reflects confidence in Ethereum’s future, calling it “foundational to digital financial infrastructure” and highlighting current prices as a compelling entry point.
Convertible notes drive acquisition
The company financed the purchase through a $150 million convertible notes offering, with a $4.16 per share price tag, representing an 8.2% premium to Bit Digital’s mark-to-market net asset value. The deal included participation from major crypto institutions like Kraken Financial, Jump Trading Credit, and Jane Street Capital, and full exercise of underwriters’ options. This way, Bit Digital was able to expand its ETH position, describing it as accretive to net asset value per share.
Position among top ETH treasuries
With 150,244 ETH, Bit Digital now ranks behind PulseChain Sac, the Ethereum Foundation, The Ether Machine, SharpLink Gaming, and Bitmine Immersion Technologies. The largest holder, Bitmine Immersion Technologies, controls 2.83 million ETH. Collectively, reserve companies and ETFs hold 12.6 million ETH worth $56.4 billion, representing over 10.3% of the total supply. Ethereum remains the second-largest crypto treasury asset globally, trailing only Bitcoin.
Long-term strategy and shareholder focus
Bit Digital’s net asset value closed September at $3.84 per share, backed by $512.7 million in Ethereum and $723.1 million in shares of its subsidiary WhiteFiber Inc. Sam Tabar stated the firm will keep expanding its Ether holdings “in a cost-effective manner,” prioritizing long-term value growth. The recent purchase signals the company’s intent to use Ethereum as a strategic reserve asset.
