Ethereum-focused treasury company Bitmine Immersion Technologies is taking a page from Strategy’s highly successful Bitcoin financing model, announcing plans to raise $300 million through a perpetual preferred stock offering designed to generate income for investors while fueling its aggressive Ethereum accumulation strategy.

The move comes at a challenging moment for the crypto market, with Ether recently falling to a 14-month low below $1,750. Despite the price weakness, Bitmine is signaling strong confidence in Ethereum’s long-term outlook and is positioning itself as one of the largest corporate holders of ETH globally.

Bitmine Introduces Yield-Bearing Preferred Shares

According to filings submitted to the U.S. Securities and Exchange Commission (SEC), Bitmine plans to issue 3 million shares of its 9.5% Series A Perpetual Preferred Stock, raising up to $300 million.

The new security will trade under the ticker symbol BMNP and is expected to begin trading within 30 days of issuance.

Unlike common shares, preferred stock sits somewhere between equity and debt. Investors are not necessarily betting on Bitmine’s future growth but instead receive regular income payments in exchange for providing capital to the company.

Under the structure:

• Each share will be issued at $100.
• Investors will receive a 9.5% annual dividend.
• Dividend payments will be distributed weekly.
• Each share generates approximately $9.50 in annual income.

The model is designed to attract income-focused investors seeking crypto exposure without directly holding volatile digital assets.

Following Strategy’s Blueprint

Bitmine’s offering closely mirrors the financing strategy pioneered by Michael Saylor’s Bitcoin treasury giant, Strategy.

In 2025, Strategy launched its own perpetual preferred stock product, known as STRC, which quickly became one of the most successful crypto-linked capital market instruments ever introduced.

The product enabled Strategy to continuously raise capital from traditional investors and redeploy those funds into Bitcoin acquisitions.

The results have been remarkable.

According to company disclosures, STRC has grown into an $8.5 billion vehicle in less than a year, making it the largest preferred stock product globally by market capitalization.

While Strategy uses a floating dividend structure designed to maintain a stable share price around $100, Bitmine has opted for a fixed 9.5% yield, providing investors with predictable income regardless of market conditions.

Staking Rewards Will Fund Dividends

One of the most unique aspects of Bitmine’s strategy is how it intends to pay investors.

Rather than relying solely on operating revenues, the company plans to use income generated from staking its Ethereum holdings.

Ethereum’s proof-of-stake network allows participants to lock ETH and earn rewards for helping secure the blockchain.

Bitmine’s growing Ethereum treasury generates staking yields that can be used to:

• Fund shareholder dividends
• Support treasury operations
• Expand validator infrastructure
• Reinvest into additional ETH purchases

This effectively transforms Ethereum into a productive treasury asset capable of generating recurring cash flow rather than simply appreciating in value.

Building One of the Largest Ethereum Treasuries

Bitmine’s latest fundraising effort comes amid an aggressive accumulation campaign.

The company recently announced that it now controls approximately 4.49% of Ethereum’s total circulating supply, bringing it remarkably close to its ambitious “Alchemy of 5%” target.

Management claims the company has achieved nearly 90% of this goal in just 11 months.

Current holdings include:

Ethereum Treasury Snapshot

• Total ETH Held: 4.7 Million ETH
• Current Market Value: Approximately $8.3 Billion
• Share of Total ETH Supply: 4.49%
• Target Ownership: 5% of Total Supply
• Staked ETH: Majority of Treasury Holdings

The scale of these holdings places Bitmine among the most significant institutional participants within the Ethereum ecosystem.

Market Volatility Creates Near-Term Challenges

Despite Bitmine’s long-term optimism, the timing of the offering arrives during one of Ethereum’s most difficult periods in recent months.

ETH has fallen more than 12% over the past week and recently touched a 14-month low near $1,734.

The decline has been driven by several factors:

• Persistent ETF outflows
• Risk-off sentiment across financial markets
• Elevated bond yields
• Investor rotation toward AI-related equities
• Reduced crypto trading volumes

As a result, Bitmine’s massive ETH position is currently carrying significant unrealized losses.

While the company still controls billions of dollars worth of Ethereum, the market value of those holdings has fallen substantially from previous highs.

Why Bitmine Remains Bullish

Despite the downturn, company leadership remains highly confident in Ethereum’s future.

Chairman Tom Lee recently argued that ETH’s market price is failing to reflect the underlying strength of the Ethereum network.

According to Lee, several key fundamentals continue to improve:

• Growing institutional adoption
• Expanding tokenization activity
• Increased stablecoin usage
• Strong staking participation
• Layer-2 ecosystem growth
• Continued developer activity

Lee believes the market is still in the early stages of what he describes as a broader crypto recovery cycle and expects Ethereum’s value proposition to become more apparent over time.

Investors React Cautiously

While management remains optimistic, shareholders have responded more cautiously.

Bitmine shares fell nearly 6% following the announcement, dropping to approximately $16.90 and reaching their lowest level since the company shifted its strategic focus toward Ethereum in mid-2025.

The decline reflects investor concerns about:

• Ethereum’s recent price weakness
• The sustainability of large treasury positions
• Market volatility
• Potential dilution from new securities issuance

However, supporters argue that the preferred stock structure provides a lower-risk mechanism for raising capital compared to issuing additional common shares.

A New Chapter for Ethereum Treasury Companies

Bitmine’s preferred stock launch represents another sign that Ethereum treasury firms are evolving beyond simple buy-and-hold strategies.

By combining treasury accumulation, staking income, dividend generation, and capital market products, companies are beginning to build financial structures that resemble traditional investment vehicles while remaining deeply integrated with blockchain ecosystems.

If successful, BMNP could become one of the first major income-generating Ethereum-backed securities available to traditional investors.

The broader implication is significant: just as Strategy helped create a new playbook for corporate Bitcoin accumulation, Bitmine may be attempting to build the blueprint for Ethereum-based corporate finance.

Whether investors embrace that vision will likely depend on two factors—Ethereum’s ability to recover from its current slump and Bitmine’s success in transforming its massive ETH treasury into a sustainable, yield-generating business model.