Bitmine Reports $3.82B Quarterly Loss Driven by Ethereum Holdings

• Bitmine posted a $3.82B quarterly loss driven by $3.78B in unrealized ETH losses.
• The firm holds 4.87M ETH (~$10.7B), over 4% of total supply, with a target of 5%.
• Revenue rose to $11.04M, with 90% coming from ETH staking yield, up from $1.5M a year ago.

Bitmine Immersion Technologies posted a $3.82 billion net loss for the quarter ended February 28, 2026, driven almost entirely by unrealized losses on its Ethereum holdings.

The loss rose sharply from just $1.15 million a year earlier. Over a six-month period, total net losses crossed $9 billion. The key driver was a $3.78 billion unrealized hit on digital assets as ETH prices remained well below prior highs.

ETH Treasury Strategy Drives Exposure

Bitmine has aggressively built one of the largest Ethereum positions in the market. As of April 12, the company held around 4.87 million ETH, valued at nearly $10.7 billion.

The average purchase price sits at $2,206 per ETH, with current prices near $2,322. The position represents over 4% of the total ETH supply, with a stated target of 5%.

The company accelerated buying in recent weeks, including a 71,524 ETH purchase in a single week, its fastest pace since December 2025.

This strategy has shifted Bitmine away from mining into a full ETH treasury model focused on accumulation, staking, and ecosystem exposure.

Revenue Rises on Staking Yield

Despite losses, revenue growth remains strong. Quarterly revenue reached $11.04 million, up from $1.5 million a year earlier.

Nearly $10 million came from ETH staking rewards. Bitmine has staked 3.33 million ETH, or about 68% of its holdings.

At a 2.89% yield, staking operations generate roughly $212 million in annualized revenue, with projections rising to $310 million at full deployment of its MAVAN platform.

Additional revenue streams include leasing, consulting, and self-mining operations, though these remain secondary.

The company raised over $10 billion through equity issuance, significantly expanding its balance sheet to fund ETH accumulation.

It also holds smaller positions, including 198 BTC, a $200 million stake in Beast Industries, and exposure to Eightco Holdings. Cash holdings stood near $719 million.

Market Bet vs Mark-to-Market Risk

The losses are largely non-cash and reflect mark-to-market declines rather than realized selling. Chairman Tom Lee maintains that ETH is undervalued relative to its utility, citing growth in tokenization and AI-linked infrastructure on Ethereum.

The firm views current market conditions as a late-stage “mini crypto winter” and continues to buy into weakness.

Related: Bitmine ETH Holdings Surge Past $10.7B as Market Tension Builds