Bit Digital jumps as it completes transition to ethereum treasury

Publicly traded digital asset platform Bit Digital announced it had completed its digital asset treasury transition to ethereum from bitcoin. It now holds 100,603 ethereum (worth over $250 million at current prices) to become “one of the largest corporate treasury companies in the world.”

Shares of Bit Digital have jumped 27% on the news as of 11:00 a.m. ET.

The company, which previously held 24,434 ethereum, used the proceeds of a $172 million raise to acquire more ethereum, and also sold its 280 bitcoin to buy ethereum.

CEO Sam Tabar said in the release:

“We believe ethereum has the ability to rewrite the entire financial system. Ethereum’s programmable nature, growing adoption, and staking yield model represent the future of digital assets. We are starting with exposure to over 100K ETH for now but we intend to aggressively add more so we become the preeminent ETH holding company in the world.”

Several companies are emulating Strategy’s digital asset treasury model but opting for ethereum, such as sportsbook marketing firm SharpLink Gaming, whose shares are up over 12% today. 

Another ethereum proponent, BitMine, revealed a $250 million private placement to start an ethereum treasury strategy, saying it expects “to become one of the largest publicly traded ETH holders.” 

Tom Lee, founder of Fundstrat and CIO of Fundstrat Capital, will become chairman of the board of directors. 

BitMine Immersion Technologies, which surged following Lee’s appointment last week, is not seeing the same enthusiasm as its competition and has tumbled 26% today.