Bitcoin Immersion Technologies (BMNR), the largest corporate holder of Ether (ETH), is facing losses of nearly $9 billion as the token’s slide below $1,800 erodes the value of its vast treasury.
Shares of the company headed by Tom Lee fell 5.9% on Wednesday, slipping below $17 and extending their decline since early May to 28%. The stock has now fallen from its February low to its weakest since the company announced its pivot to an Ethereum treasury strategy in May 2025.
The selloff comes as ETH retests its February lows. The second-largest cryptocurrency has fallen more than 20% since the beginning of May, when Fundstrat co-founder and Bitmain chairman Lee argued that the market’s “mini crypto winter” had likely ended and a new “crypto spring” had begun.
Under Lee’s leadership, Bitmain has amassed more than 5.4 million ETH, or about 4.5% of Ethereum’s circulating supply, in about a year. That position is worth about $10 billion at current prices.
However, according to data collected by Dropstab, those holdings are now deeply underwater, and are incurring an estimated $8.9 billion in unrealized losses.
Digital asset treasuries are under pressure
Bitcoin’s decline has highlighted renewed pressure in the digital asset treasury sector, where companies are trying to replicate the playbook pioneered by Michael Saylor’s MicroStrategy (MSTR): raise capital through public markets and use the proceeds to hoard crypto.
That model has become harder to maintain as crypto prices weaken and many Treasury stocks fall below the value of their underlying assets.
The strategy recently revealed its first Bitcoin sale since 2022, sparking debate over how the company might meet future obligations tied to its preferred stock offerings.
The situation with Bitcoin is different in a few key respects. The company financed its ether purchases primarily through the issuance of equity rather than debt, leaving it without the leverage concerns and interest payments faced by some treasury peers.
The company also generates revenue from staking its ETH and operating its staking service MAVAN. Bitmain said it has staked more than 4.7 million ETH – about 87% of its holdings – and recently estimated annual staking revenue at about $276 million.
Lee demands $250,000 ETH
Recent price action has not affected Lee’s long-term outlook.
Speaking at the Proof of Talk conference in Paris earlier this week, he said that ETH could eventually reach $250,000 as tokenization, AI-powered transactions and corporate staking reshape Ethereum’s role in the global financial system.
For now, investors are focused on the more immediate reality. Ether is back near levels last seen during the February selloff, plunging Bitcoin’s treasure trove into deeper waters and highlighting the gap between Lee’s long-term thesis and the market’s current outlook for the asset.