BitMine Buys Back $113 Million in Ethereum from BitGo to Strengthen Treasury

25,000 ETH package sent

In a significant move that underscores the continued institutional adoption of crypto assets, BitMine, a publicly listed Bitcoin mining and digital infrastructure company, has purchased $113 million in Ethereum (ETH) from BitGo, one of the industry’s leading regulated custodians and cryptocurrency service providers.

The acquisition marks one of the largest Ethereum acquisitions by a mining company in 2025, signaling BitMine’s shift to multi-asset diversification and a broader strategy to capitalize on the rise of on-chain yields, tokenized infrastructure, and decentralized finance participation.

The acquisition, disclosed in an SEC 8-K filing late Tuesday, involved a direct OTC swap with BitGo, the custody giant that safeguards $64 billion in digital assets for more than 1,500 institutions. BitMine, which leveraged $150 million in convertible bonds from Q3, transferred cash equivalents for 25,000 ETH at a blended price of $4,520 — below the spot price but above the 30-day VWAP — resulting in an immediate paper gain of $2.5 million as ETH rose 0.3% on the news. The funds, staked via Lido within hours of on-chain tracking, now contribute $6.2 million in quarterly rewards, according to Rocket Pool estimates.

CEO Jordan Schlosser hailed the move as “doubling down on Ethereum’s profit momentum,” noting that BitMine has shifted from BTC mining (2.5 EH/s fleet) to ETH staking since the 2024 Dencun upgrade, which reduced L2 fees by 90% and increased TVL to $150 billion.

BitGo, which recently received a $100 million Series C extension, has facilitated transfers through its MPC custody service, highlighting its role in the transformation of the $4 trillion crypto custody market.

Always at the forefront of Ethereum

BitMine's balance sheet was previously focused primarily on Bitcoin, reflecting the company's core mining operations.

The acquisition marks a clear shift to Ethereum’s staking economy — a growing trend among institutions as companies seek yield-yielding digital assets to supplement their unyielding BTC holdings.

By reallocating a portion of its funds into ETH, BitMine joins a group of companies like Metaplanet, Semler Scientific, and GameSquare that have begun diversifying their digital reserves in 2025. Ethereum’s staking ecosystem currently yields 3.5%–4.2% annually, providing a reliable source of on-chain income through validating activities.

BitMine plans to allocate a portion of its ETH to staking pools, possibly through BitGo's institutional staking services, allowing the company to earn passive returns without compromising important custody controls.

The move also aligns with BitMine's exploration of crypto infrastructure as it develops hybrid Bitcoin-Ethereum mining facilities that utilize a smart contract-based hash rate and energy token model.

Evaluation and Conclusion

BitMine's $113 million ETH acquisition is a strategic move, not a speculative one. It reflects the maturity of the digital asset market: corporate hedge funds are now actively managing cross-chain risk, balancing store-of-value assets like Bitcoin with yield-generating tokens like Ethereum.

This trend also highlights a new era in mining economics – one where miners are evolving into hybrid models of energy and digital finance, distributing capital across blockchain ecosystems rather than being tied to a single network.

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