Peter Thiel’s $500M Ethereum Bet Sends BitMine Stock Soaring 760%

• Peter Thiel bought 9% of BitMine Immersion Technologies, and the stock jumped 12.54% after hours.

• BitMine now holds $500 million worth of Ethereum and owns over 163,000 ETH tokens.

• ETH price rose 5.63% to $3,144 after the news broke.

PayPal co-founder Peter Thiel has acquired a significant 9% stake in BitMine Immersion Technologies (NYSE: BMNR), marking a major endorsement for Tom Lee’s Ethereum treasury strategy. The investment sent BMNR stock surging 12.54% in after-hours trading on Monday, closing at $45.

According to SEC filings, Thiel holds 5,094,000 common shares through multiple affiliated entities, representing approximately 9.1% of the company’s outstanding shares. This strategic move comes as BitMine transitions from traditional operations to an Ethereum accumulation model similar to MicroStrategy’s Bitcoin strategy.

BitMine’s Aggressive Ethereum Accumulation Strategy

BitMine disclosed on July 14 that it now holds nearly $500 million worth of Ethereum, positioning itself as one of the largest public ETH holders. The Nevada-based company has acquired over 163,000 ETH since its initial capital raise, spending double the $250 million raised from share sales.

The company’s pivot to Ethereum treasury operations began last month with an initial fundraise of $250 million. Tom Lee’s firm competes directly with SharpLink Gaming (NASDAQ: SBET), which recently overtook the Ethereum Foundation as the largest ETH holder with nearly 300,000 ETH in treasury.

Since announcing its Ethereum treasury plan in late June, BMNR stock has experienced explosive growth, trading more than 760% higher on the monthly chart. The dramatic price appreciation reflects growing institutional interest in cryptocurrency treasury strategies.

Market Impact and Trading Activity

Thiel’s investment has generated positive momentum across Ethereum markets. ETH price increased 5.63% following the announcement, surging past $3,144. ETH’s future open interest climbed 7% to exceed $46 billion, indicating strong bullish sentiment among professional traders.

The institutional backing from Thiel, known for his early investments in Facebook and PayPal, provides significant credibility to BitMine’s Ethereum treasury approach. His involvement may attract additional institutional players to the space, potentially accelerating corporate adoption of cryptocurrency treasury strategies.

BitMine’s aggressive accumulation strategy positions the company as a key institutional player in the Ethereum ecosystem. The firm is rapidly closing the gap with SharpLink Gaming to become the largest public Ethereum holder.

The growing competition between public companies to accumulate Ethereum mirrors the corporate Bitcoin adoption trend that began with Strategy in 2020. This development suggests institutional cryptocurrency adoption is expanding beyond Bitcoin to include Ethereum and other digital assets.