BitMine recently revealed that it holds 3.63 million tokens on its balance sheet, consolidating one of the largest Ethereum reserves ever recorded in public corporate history. However, the firm’s chairman, Thomas “Tom” Lee, now faces immediate criticism from market analysts, who openly question the veracity of the reported average purchase price of 2,840 dollars per unit.
In a detailed financial update offered on November 24, the company reported total assets worth 11.2 billion dollars, strategically distributed between cash and cryptocurrencies. The breakdown specifically includes 3,629,701 ETH, 192 Bitcoin, and a 38 million stake in Eightco Holdings, in addition to 800 million in unencumbered cash.
Likewise, the weekly data published showed an aggressive and constant acquisition during the months of October and November, highlighting massive purchases such as the 203,826 units acquired in a single week in mid-October. This accelerated accumulation strategy has positioned the company as the second-largest crypto treasury globally, ranking only behind MicroStrategy’s holdings.
Are accounting reports hiding unrealized losses exceeding 4 billion?
The importance of this announcement lies in the fact that the firm is rapidly approaching its long-term goal of owning 5% of the entire network supply. The research firm Fundstrat has dubbed this critical threshold the “Alchemy of 5%,” suggesting a milestone of control and influence unprecedented in the digital ecosystem.
Nevertheless, on-chain analysis experts like Lookonchain dispute the official cost basis, suggesting that the real purchase price hovers around 3,997 dollars. If this independent calculation is true, this would imply a substantial unrealized loss exceeding 4 billion dollars, contradicting the slight profitability that the company suggests in its current reports.
On the other hand, the discrepancy in figures could affect institutional investor confidence in BMNR shares, which are already trading with considerably high volume. Despite the emerging accounting doubts, the stock’s average daily volume reached 1.6 billion dollars, placing it among the 50 most traded stocks in the United States, surpassing even Palo Alto Networks. If it is confirmed that the cost basis is much higher than the current market spot price, the risk perception regarding the company could increase dramatically, pressuring both its stock value and the perceived stability of its massive holdings.
The financial community now expects the board to clarify the mathematical inconsistencies presented in its cost breakdown against traceable blockchain data. With the launch of the MAVAN validator network scheduled for early 2026, transparency will be a crucial factor in maintaining bullish momentum. Thus, BitMine’s treasury strategy will remain a central and determining narrative for the evolution of the Ethereum market and its institutional participants in the coming months.
