Bit Digital Raises $162.9M to Boost Ethereum
In Brief
Bit Digital secured $162.9 million through a public offering to grow its Ethereum (ETH) treasury.
Shares jumped 5.48% on the successful fundraising announcement.
Proceeds will fuel a strategic pivot from Bitcoin mining to Ethereum staking.
Strategic Pivot to Ethereum
Originally a Bitcoin mining operator, Bit Digital has redefined its business around Ethereum staking and treasury management. By the end of Q1 2025, the firm held over 24,400 ETH and signaled plans to convert its remaining Bitcoin reserves into Ethereum.
Public Offering and Use of Proceeds
On June 26, Bit Digital launched a $150 million public share offering at $2 per share, issuing 75 million ordinary shares. Underwriters exercised their 30-day option to purchase an additional 11.25 million shares, raising total proceeds of $162.9 million. Net funds will be deployed to purchase Ethereum and strengthen the company’s ETH holdings.
Market Reaction
Investors reacted positively, pushing BTBT shares to $2.30—a 5.48% increase at market close—and an extra 2.6% gain in pre-market trading. This uptick aligns with patterns seen in firms embracing Ethereum-focused strategies.
Institutional Confidence and Outlook
The fundraising success underscores growing institutional appetite for Ethereum as a standalone asset class. Similar moves—such as a $250 million ETH allocation by BitMine—have driven dramatic stock rallies. Continued protocol upgrades and stablecoin momentum may further support ETH price growth, though broader market dynamics could moderate short-term gains.
Conclusion
Bit Digital’s strategic reorientation toward Ethereum staking and treasury accumulation highlights the rising investor confidence in ETH. With fresh capital secured, the company is well positioned to lead in institutional Ethereum adoption.