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How the crypto treasury craze is creating ‘true scarcity,’ says BitMine chairman Tom Lee
cryptocurrency

How the crypto treasury craze is creating ‘true scarcity,’ says BitMine chairman Tom Lee

Tom Lee explains how BitMine’s aggressive Ethereum accumulation is driving true scarcity amid the crypto treasury craze.

August 1, 2025
5 min read
Pedro Solimano

Tom Lee explains how BitMine’s aggressive Ethereum accumulation is driving true scarcity amid the crypto treasury craze.

Tom Lee, chairman of BitMine Immersion Technologies, highlights a significant, yet often overlooked, trend in the crypto treasury space: the aggressive accumulation of Ethereum by a select group of corporations. Lee asserts that "there's true scarcity in Ethereum right now," emphasizing not only the asset's inherent value but also the accelerated pace at which it is being acquired. This strategy echoes the pioneering approach of Michael Saylor and MicroStrategy, which began accumulating Bitcoin in August 2020 and now holds a substantial portion of its total supply. This has seen a significant surge in MicroStrategy's stock price, spurring other companies to explore similar treasury management strategies. The trend has now extended to Ethereum, with BitMine, a previously lesser-known Bitcoin miner, emerging as the largest public holder of Ethereum. In just two weeks, the company amassed over $2 billion worth of Ether, with plans to acquire up to 5% of Ethereum's total supply, as detailed in their investor deck, "The Alchemy of 5%." Despite skepticism from figures like short seller Jim Chanos and warnings from Coinbase analysts regarding systemic risks, Lee remains optimistic about Ethereum's prospects.

Bigger Opportunity in Ethereum

Lee views Ethereum as presenting a greater macro opportunity than Bitcoin, describing it as "the biggest macro trade of the decade." He points to stablecoins, with their $272 billion market valuation and potential growth fueled by legislation like the US government's Genius Act, as a key driver for Ethereum's adoption. Lee likens stablecoins to the "ChatGPT of crypto," with Ethereum serving as its "backbone"—a legally recognized and highly reliable infrastructure.

Mimicking MicroStrategy’s Model

In alignment with MicroStrategy's "Bitcoin per share" metric, BitMine has introduced an "ETH per share" metric to track its Ethereum holdings relative to its stock. As of July 27, BitMine reported holding approximately 600,000 Ether, valued at around $2.2 billion, along with 192 Bitcoin and over $400 million in cash. With 118 million fully diluted shares, the net asset value per share stands at approximately $23, a significant increase from less than a month prior. BitMine aims to further increase this value through market activities, reinvested cash flow, and the appreciation of Ether prices. Uniquely, BitMine also plans to stake its Ether holdings, projecting an annual net income of $100 million, thus integrating a treasury strategy with an infrastructure business.

Transforming Capital Markets

Lee draws parallels between current crypto treasury companies and traditional resource-based valuations, referencing ExxonMobil, which was historically valued not only on its earnings but also on its vast reserves of untapped oil and gas. Similarly, companies like MicroStrategy are now increasingly valued based on their significant cryptocurrency holdings. MicroStrategy's Q2 profit of $10 billion, largely attributed to its Bitcoin assets, exemplifies this shift, leading Lee to conclude, "It's a new world: companies valued purely on their crypto holdings."
Pedro Solimano is DL News’ Buenos Aires-based markets correspondent. Source: Originally published at DL News on 1 August 2025.

Frequently Asked Questions (FAQ)

Q: What is the primary trend Tom Lee is highlighting in the crypto treasury space? A: Tom Lee is emphasizing the rapid and significant accumulation of Ethereum by a few corporations, indicating a growing trend beyond Bitcoin treasury strategies. Q: How does BitMine's strategy differ from traditional Bitcoin treasury plays? A: Besides accumulating Ethereum, BitMine plans to stake its Ether holdings to generate additional income, blending treasury strategy with infrastructure business operations. Q: What is the "ETH per share" metric introduced by BitMine? A: This metric allows investors to track the amount of Ethereum the company holds in relation to each share of its stock. Q: What role do stablecoins play in Lee's outlook on Ethereum? A: Lee sees stablecoins as a major driver for Ethereum's growth, comparing them to the "ChatGPT of crypto" and positioning Ethereum as the essential backbone for this burgeoning sector. Q: What is BitMine's target for Ethereum acquisition? A: BitMine plans to acquire up to 5% of Ethereum's total supply.

Crypto Market AI's Take

The observation by Tom Lee about the concentrated accumulation of Ethereum by corporations like BitMine is a key indicator of evolving institutional strategies within the cryptocurrency market. This trend highlights a shift towards viewing certain cryptocurrencies not just as speculative assets, but as strategic treasury reserves with potential for yield generation through staking. Our platform, Crypto Market AI, is at the forefront of analyzing such market dynamics. We leverage advanced AI agents and sophisticated trading bots to identify and capitalize on these emerging trends, offering insights into the potential growth drivers for assets like Ethereum. Understanding these accumulation patterns is crucial for navigating the future of digital asset treasuries, a topic we explore extensively in our AI-driven market analysis.

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