ARK Invest Invests Additional $15.6 Million in BitMine Immersion Technologies
BitMine Immersion Technologies' stock fell nearly 8% this week, yet ARK Invest invested an additional $15.6 million in the company.
ARK Expands Its Holdings
- On August 27, ARK bought 339,113 BitMine shares across three ETFs.
- The ARK Innovation ETF acquired 227,569 shares valued over $10 million.
- The Next Generation Internet ETF added 70,991 shares worth $3.27 million.
- The Fintech Innovation ETF purchased 40,553 shares for $1.87 million.
- Despite this buying, BitMine shares ended at $46 and slid 7.80% in extended trading.
Ethereum Strategy Draws Institutional Attention
- BitMine shifted focus from Bitcoin mining to Ethereum, holding 1,714,000 ETH valued at approximately $8.20 billion.
- The company also holds 192 Bitcoin and $562 million in cash.
- BitMine is now the largest corporate holder of Ethereum, with Peter Thiel owning a 9% stake.
- After surging over 3,000% to a high of $135 in July, shares remain up over 400% year-to-date despite recent declines.
Massive Equity Offering Fuels Expansion
- BitMine plans to expand its equity offering from $2 billion to $24.5 billion as of August 12.
- This move aims to enhance its Ethereum position amid projected price targets of $5,500 and potentially $12,000 by year-end.
- If successful, BitMine could rival Michael Saylor’s strategy in scale.
A New Corporate Champion For Ethereum?
- Social media positions BitMine as Ethereum's equivalent of major corporate strategies.
- ARK’s investment exceeds $200 million this summer, reinforcing this view.
- Share price volatility reflects risks associated with concentrated investments despite substantial assets.