Tom Lee’s Bitmine Adds 5,000 ETH Despite $7.5B Unrealized Loss as BMNR Stock Rebounds

Tom Lee’s Bitmine bought 5,000 ETH from the Ethereum Foundation through an OTC transaction. The deal priced each ETH at $2,042.96, bringing the total value to about $10.38 million today, according to the foundation. According to the Ethereum Foundation, the sale funds protocol research, ecosystem development, and community grant programs across its network operations.

Bitmine Executes 5,000 ETH OTC Deal

In an X post, the Ethereum Foundation confirmed the transaction occurred through an over-the-counter agreement with Bitmine. Arkham data also shows the on-chain transaction between the Ethereum Foundation and a wallet linked to the Ethereum treasury company.

Source: Arkham Intelligence

According to the Ethereum Foundation, the transaction forms part of its treasury management activities. The foundation stated the proceeds will fund core operations. These include protocol research and development, ecosystem growth programs, and community grants.

The purchase adds to Bitmine’s recent Ethereum accumulation. As CoinGape reported, Bitmine acquired 60,976 ETH, bringing the company’s total Ethereum holdings to 4,534,563 ETH. These buys come despite Bitmine facing $7.5B in unrealized losses, with the company having invested $16.7B into the buy.

Source: DropsTab

However, the transaction also followed earlier on-chain movements. Three days earlier, the Ethereum Foundation transferred 24.546 ETH and another 18.49 ETH to wallets.

The foundation also began staking up to 70,000 ETH to support its operations less than a month ago. That staking initiative aims to strengthen its financial sustainability while reinforcing its role within the Ethereum ecosystem.

This sale to Bitmine comes a day after the Ethereum Foundation released its mandate. The mandate outlines core principles the Ethereum Foundation aims to protect. It emphasizes an Ethereum that remains censorship-resistant, open-source, private, and secure, designed to support user self-sovereignty while ensuring resilience, fair participation, and seamless user experience.

BMNR Stock Rebounds This Week

Bitmine’s latest Ethereum purchase comes amid the BMNR stock’s rebound this week. The crypto stock climbed over 5% this week, rising above $20 in the process. However, BMNR is still down over 26% year-to-date (YTD).

On Friday, BMNR closed at $20.55, with a session range of $20.49 to $22.76. Meanwhile, average trading volume is at 44.38 million shares. Analysts continue to back BMNR for a bullish surge.

Analyst Donald Dean said that BMNR has formed higher lows and new highs since early February. Dean described the structure as a classic bullish continuation pattern forming in the stock. He also referenced Ethereum price stability within the broader market. According to Dean, that stability keeps BMNR positioned for another upward move.

Bitmine’s recent buy comes as the Ethereum price continues to trade above $2K but has dipped below $2,100. At the time of writing, the ETH price is $2,077.04, down 2.7% over the past 24 hours.