Ethereum News: BitMine Just Bought 10,452 ETH and Now Owns 4.95% of All Ethereum

Bitmine Immersion Technologies (NYSE: BMNR | BMNR Price Prediction) recently made headlines by acquiring 10,452 ETH, valued at about $24 million, in the week leading up to October 25, 2026. In a statement, the company said it now holds 6.05 million ETH, which accounts for 4.95% of the 122.2 million ETH in circulation. This purchase brings Bitmine closer to its goal of holding 5% of all Ethereum.

Surprisingly, Ethereum (CRYPTO: ETH) showed little reaction to this news. ETH traded at $2,307, down 1% over the previous 24 hours and 13.2% for October. Meanwhile, Bitmine’s stock fell 5.2% to $21 in early trading.

The statement also noted that Bitmine’s total assets, including crypto, cash, and marketable securities, now stand at $15 billion. The company also repurchased 2.04 million shares during the week and 22.9 million so far this year, reducing the number of shares available to the public.

What Bitmine Owns and How It Profits From Its ETH

Bitmine describes itself as a cryptocurrency network company focused on accumulating digital assets for long-term investment. The company values its ETH at $2,356 each, based on Coinbase (NASDAQ: COIN) prices as of October 25. Bitmine also owns 215 Bitcoin (CRYPTO: BTC) and has $514 million in cash and marketable securities. Its investments include $180 million in Beast Industries and $76 million in Eightco Holdings (NASDAQ: ORBS), which it calls “moonshots.”

The company primarily generates revenue through staking. Staking involves locking ETH into Ethereum’s validator network that confirms transactions, allowing Bitmine to earn rewards paid in ETH. Bitmine currently has 5,227,037 ETH staked, valued at about $12.3 billion, through its Made in America Validator Network (MAVAN). MAVAN also provides services to external institutions, which could become a fee-based business, though Bitmine has not disclosed specific staking income figures.

Bitmine originally started as a Bitcoin mining operation and joined the Russell 1000 large-cap index on June 26. Notable investors supporting the company include ARK’s Cathie Wood, Founders Fund, Pantera, Galaxy Digital, and Bill Miller III. However, since these investors hold Bitmine shares, their presence indicates confidence in the company rather than a surge in independent demand for ETH.

Bitmine’s Weekly Buying Looks Small Next to Ether ETF Selling

While Bitmine is investing its capital, institutional investors in Ether ETFs are pulling back. In the week of October 19, U.S. spot Ether ETFs that directly hold ETH saw $225 million in net outflows, with withdrawals in three of the five trading sessions. Therefore, Bitmine’s $24 million purchase addresses only a small fraction of the ETH the funds have sold.

Interestingly, Bitmine’s current holdings rival the total assets managed by the spot Ether ETFs, which stood at about $14.6 billion as of October 23. Bitmine’s reported $15 billion includes cash and other investments.

Bitmine Is About 58,067 ETH Away From Its 5% Stop

Bitmine has indicated that it plans to halt further purchases once it reaches 5% of Ethereum’s supply, a goal it has dubbed the “Alchemy of 5%.” At 4.95%, the company is already 99% of the way there and needs about 58,067 more ETH, or about $137 million at current prices. With its recent purchase pace, it would take around 5.6 weeks to hit this target.

Reaching this ownership threshold could significantly impact the market, as Bitmine has consistently bought since launching its treasury strategy. Moreover, with spot ETFs seeing net outflows in most sessions since late September, Bitmine’s stop could remove demand while fund investors continue selling.

However, ETH’s price may already factor in this development. Bitmine has promoted its 5% goal since at least November 2025, and the remaining ETH needed is small compared to the daily trading volumes in the spot Ether ETFs. Furthermore, Bitmine’s staked ETH will remain locked after purchasing ends.

Chairman Tom Lee attributed ETH’s recent price drop to broader market trends, stating, “Crypto got pulled down by the same ‘risk-off’ forces behind the AI sell-off,” which he interprets as further proof that a crypto bull market is underway.

Could Bitmine’s 4.95% Share Push ETH Higher?

Reaching the 5% ownership goal does not necessarily mean ETH will rise. Bitmine secures a larger staking base and buybacks that bolster BMNR, which has fallen 56.8% over the past year, compared with ETH’s 44% drop, and is valued at $12.8 billion—below its $15 billion asset value. While Bitmine’s long-term holding keeps 5.2 million coins staked and out of circulation, it doesn’t translate into new demand for ETH once buying stops.

The primary question remains: who will purchase ETH next? ETF investors, the likeliest candidates, were net sellers in the week of October 19. The market’s response after Bitmine’s first 5% update will be crucial. A net inflow in the first week after the halt could suggest the market can absorb the change, while continued outflows and ETH falling below $2,307 could signal that losing Bitmine as a major buyer is weighing on the market.

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