Nasdaq-Listed Firm Shifts from BTC Mining to ETH Accumulation
In a bold shift away from traditional crypto mining, Bit Digital (NASDAQ: BTBT) has raised $162.9 million in net proceeds from a public share offering, signaling a decisive pivot from Bitcoin mining to building a substantial Ethereum treasury.
This transition underscores a growing trend among public companies to reallocate capital from Bitcoin to Ethereum, particularly amid rising institutional interest and the evolving regulatory landscape under the pro-crypto U.S. administration.
Strategic Ethereum Pivot Backed by Major Share Sale
Bit Digital disclosed that it sold an additional 11.25 million shares through an over-allotment option exercised by underwriters, completing the 86.25 million share offering. The proceeds will be used to:
- Acquire ETH on the open market
- Stake Ethereum to generate yield
- Fund long-term treasury diversification
This follows the company’s earlier announcement in June 2025 that it would wind down its Bitcoin mining operations entirely.
Bit Digital to Convert Existing BTC Holdings to ETH
The company revealed that it currently holds approximately 417.6 BTC, worth an estimated $44.9 million, which it plans to gradually convert into ETH. This move is not impulsive — Bit Digital began accumulating Ethereum as early as 2022 and had built a stash of 24,434 ETH by the end of Q1 2025, valued at over $59.8 million at current prices.
With ETH trading at around $2,444, the company’s new treasury infusion will significantly increase its exposure to Ethereum as a core balance sheet asset.
Why Ethereum? Understanding the Strategic Rationale
Bit Digital’s transition is part of a broader trend of Ethereum-focused treasury strategies that reflects Ethereum’s growing dominance in:
- DeFi
- Stablecoins
- Staking infrastructure
- Enterprise smart contracts
As Ethereum prepares for future upgrades and increased institutional adoption, companies like Bit Digital are betting that ETH’s yield-generating capabilities through staking offer superior long-term returns compared to proof-of-work mining.
Growing Institutional Shift Toward Ethereum Treasuries
While most corporate crypto treasuries still favor Bitcoin, Ethereum is gaining momentum. BitMine Immersion Technologies, another mining firm, recently announced plans to raise $250 million to fund its Ethereum treasury, highlighting a parallel pivot within the sector.
This change comes at a time when U.S. regulatory clarity under MiCA and SEC reform is making it easier for public firms to invest in digital assets with confidence. The Biden-Trump policy divergence on crypto regulation is also a factor, with the current administration adopting a more crypto-friendly posture.
Market Reaction and Investor Sentiment
Following the announcement, Bit Digital’s stock (BTBT) rose nearly 4% in after-hours trading, pushing its market cap to $594 million, up from $488 million the previous week. The market clearly views this pivot toward Ethereum as a strategic and forward-thinking move.
Bit Digital Bets Big on Ethereum’s Future
Bit Digital’s exit from Bitcoin mining marks a turning point in how publicly listed companies engage with crypto. By rebalancing its treasury toward Ethereum accumulation and staking, the firm is aligning itself with the next phase of blockchain utility — yield, scalability, and enterprise adoption.
As ETH continues to establish itself as the backbone of decentralized finance and digital infrastructure, Bit Digital’s move may inspire other corporates to follow suit.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.