Ether Price Drop Slams Bitmine, Ticking Down Stock Value

Bitmine Immersion Technologies, Inc., NYSE:BMNR, finished last week at $14.98, up 4.3% from the previous week's close. However, a significant drop in ether's price has taken approximately $1.01 billion off the value of Bitmine's token stash. This reduction is substantial because BMNR mostly trades as a proxy for its big ether stake.

According to recent reports, Bitmine holds 5,742,237 ether, which accounts for about 4.8% of the coin's stated supply. These tokens make up around 93% of its $11.1 billion in disclosed crypto, cash, marketable securities, and equity stakes at company value.

The decline in ether's price from $1,800 to $1,624.95 has marked down Bitmine's ether valuation by around $9.33 billion, below the $10.34 billion listed in the update. If all other holdings remain unchanged, the total gross holdings would be approximately $10.09 billion.

Staking cushions some of this impact as Bitmine had 4.879 million ether staked to help run the Ethereum network for rewards. With a 2.68% annualized seven-day yield, using Sunday's ether price, that level and yield give about $212 million a year if nothing else changes.