Bitmine’s ETH buying slows as Tom Lee's firm shifts capital to share buybacks
Bitmine has slowed its weekly Ethereum accumulation as it nears its goal of owning 5% of the total supply, shifting capital toward share buybacks instead. Chairman Thomas Lee remains optimistic about crypto market conditions, citing potential shifts in Federal Reserve interest rate policy.
Why it matters
Corporate treasury strategies regarding digital assets and share buybacks significantly influence market sentiment and institutional adoption of cryptocurrency.
The purchase, worth roughly $14.2 million at ether’s price as of writing of $1,915, lifted the company’s holdings to over 5.8 million ETH, or about 4.8% of Ethereum’s total supply.
The latest haul, which extends Bitmine’s ETH buying streak to 58 weeks , was the smallest weekly purchase through the year and remains a fraction of the 100,000-plus weekly acquisitions Bitmine made earlier this year.
Thomas Lee, chairman of Bitmine, noted earlier this year that the firm would slow the pace of crypto accumulation as it gets closer to its goal of owning 5% of ether’s supply.
Instead, the company has shifted towards buying back shares. It repurchased another 3 million shares last week, which would have cost roughly $50 million to $58 million based on the stock’s trading range during the period. Since July, the firm has bought back 19.1 million of its own shares.
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