Tom Lee claims that Bitmine will stop buying Ethereum after holding 5% of the circulating ETH
Decrypt
1h ago
Ai Focus
Bitmine Chairman Tom Lee stated on Token2049 that once the company holds 5% of the Ethereum's circulating supply, it will cease purchasing. The company currently holds 6,016,414 ETH, which is approximately 4.9% of the circulating supply, and has been purchasing weekly since launching its capital reserve strategy in June 2025; at last week's pace, it will be about six to seven weeks before purchasing stops.
Helpful
No.Help

Newsletter

  • Bitmine Chairman Tom Lee stated on Token2049 that once the company holds 5% of the circulating supply of Ethereum, it will cease purchasing Ethereum.
  • Bitmine currently holds 6,016,414 ETH, which is approximately 4.9% of the circulating supply. They have been buying on a weekly basis since June 2025; once this continuous buying trend ends, the market will lose a long-term and stable buyer.
  • According to tracking data, the company currently has an unrealized loss of approximately $4.5 billion on its books, with most of its positions established during the previously higher bull market price range.

Bitmine Immersion Technologies is set to slow down its offensive. Chairman Tom Lee stated that once the company's holdings of Ethereum reach 5% of the token's circulating supply, the company will cease purchasing, drawing a clear line as one of the most stable sources of demand in the market.

At the Token2049 conference held in Singapore on Wednesday, Lee stated that the company is still about 100,000 ETH short of this milestone. Based on last week's purchasing pace, Bitmine will likely stop purchasing in another six to seven weeks.

Lee said on stage: "We originally thought it would take five years. But in fact, we completed it in a little over a year. More importantly, we did all this during a bear market. Now, we need to take a break."

Since the company launched its fund reserve strategy in June 2025, Bitmine has been buying Ethereum on a weekly basis, creating a stable buying force that has played a supporting role during periods of significant market volatility for this token.

This also makes the upcoming cessation of buying worth paying attention to for the broader market. The weekly purchases by Bitmine have always been a source of sustained demand, and with the end of this activity, the market will lose a buyer that has been continuously absorbing ETH for over a year.

However, as they reach this milestone, Bitmine's financial situation is not easy. According to tracking data, since most of their increases in holdings occurred during last year's bull market when prices were higher, as of Wednesday when Ethereum was trading around $2,570, the company's unrealized loss on its holdings of ETH amounted to approximately $4.5 billion.

Ethereum fell by 5.5% on Wednesday, a decline that surpassed most major cryptocurrencies. During the Asian trading session, its price plummeted significantly, coinciding with the time when Lee made the aforementioned remarks.

Nevertheless, Lee still regards this achievement as a point of pride: the company managed to complete what was originally a five-year plan in just over a year. Once the 5% threshold is reached, Bitmine's landmark buying campaign, along with the resulting market demand, will also come to an end.

Tip
$0
Like
0
Save
0
Views 18
CoinMeta reminds readers to view blockchain rationally, stay aware of risks, and beware of virtual token issuance and speculation. All content on this site represents market information or related viewpoints only and does not constitute any form of investment advice. If you find sensitive content, please click“Report”,and we will handle it promptly。
Submit
Comment 0
Hot
Latest
No comments yet. Be the first!
Related
Buffett's advice to 99% of investors is still effective today
Buffett has long advised most people not to try to pick stocks, time their investments, or use high-fee financial products, but instead to hold low-cost S&P 500 index funds. The article states that the S&P 500 has risen by 14% this year, nearly 80% over the past five years, and almost 1100% since the low point of the financial crisis.
Businessinsider
·2026-10-08 00:40:25
8
Bitcoin price falls below $83,000, rising lending costs exert pressure
Bitcoin prices fell to $82,823 in New York on Wednesday, and then rose to $83,062, a decrease of nearly 4% within 24 hours. Coinglass reported that approximately $178 million in long positions in Bitcoin were closed within the past 24 hours. The article states that rising oil prices have increased borrowing costs and sparked concerns in the market about another interest rate hike by the Federal Reserve.
Bitcoin Magazine
·2026-10-08 00:31:56
14
Arkansas lawmaker pushes Congress to take action on cryptocurrencies; Regulatory agencies speed up their pace
Franklin Hill, chairman of the House Financial Services Committee, stated that the measures taken by SEC and CFTC regarding crypto regulation are not as conducive to long-term stability as the CLARITY legislation. He hopes that Congress will be able to pass the Cryptocurrency Market Structure Act before the next legislative session begins in 2027.
Cointelegraph
·2026-10-08 00:20:58
14
Marvell claims that the business scale of AI chips can reach $12 billion, and Google transactions may reach $120 billion
Marvell has raised its revenue forecast for the fiscal year 2028 to approximately $20 billion and disclosed an expanded collaboration with Google. The related custom products cover inference accelerators, network controllers, and near-memory computing in the TPU ecosystem. The company stated that if the performance targets are achieved, the cumulative sales from this collaboration could reach $120 billion by the fiscal year 2033; meanwhile, Marvell expects custom chip revenues to reach $12 billion by the fiscal year 2029.
Coinpaper
·2026-10-08 00:20:54
13
Injective White Paper to Transform INJ Chain into a Tokenized Finance Platform
Injective releases its first complete white paper since December 2018, shifting focus to institutional-level finance and tokenization, covering RWA issuance, on-chain transactions, derivatives, settlement, as well as AI and agent finance.
Coinpedia
·2026-10-08 00:10:38
16
View More