Bitcoin and Ethereum corporate treasuries have seen fresh growth this week as both Strategy and BitMine have announced new acquisitions.
The buy, which occurred in the period between October 27th and November 2nd, cost Strategy about $114,771 per token, or a total of $45.6 million. This acquisition isn’t too big and continues the recent trend of small, but consistent purchases from the Bitcoin hoarder.
According to the filing with the US Securities and Exchange Commission (SEC), the firm’s acquisition has come alongside sales of its STRF, STRK, STRD, and MSTR at-the-market (ATM) stock offerings.
BitMine now owns 3.4 million ETH, equivalent to 2.8% of the cryptocurrency’s entire circulating supply. “We are now more than halfway towards our initial pursuit of the ‘alchemy of 5%’ of ETH,” noted Thomas “Tom” Lee of Fundstrat, Chairman of BitMine.
BitMine is the largest ETH treasury in the world, but in terms of overall cryptocurrency corporate holders, the firm comes second behind Strategy. Saylor’s firm holds 641,205 BTC after the latest purchase, equivalent to over 3.2% of the Bitcoin supply.
Strategy invested a total of $47.49 billion into these holdings, and today, the tokens value at $68.8 billion, giving the firm a healthy profit margin. While the Bitcoin treasury is in the green, BitMine’s ETH reserves are underwater. The company spent $13.25 billion to assemble its Ethereum stack, but at current prices, the reserve values at $12.43 billion.
Both BTC and ETH have gone through bearish price action recently, but the reason Strategy’s holdings are still strong lies in the fact that the firm has been at its buying spree for years now, while BitMine is a new player in the space, so its cost basis is much closer to recent prices.
This is the first time in seven months that this trend has developed, suggesting a shift in institutional interest in Bitcoin.
At the time of writing, Bitcoin is floating around $107,300, down 7% over the last seven days.
