Thomas “Tom” Lee, chairman of BitMine Immersion Technologies, has defended the company’s multibillion-dollar unrealized losses on its Ethereum holdings, arguing that short-term declines are a natural feature of its role as an ETH treasury vehicle.
In a recent statement addressing claims that BitMine was “the final exit liquidity” for early Ether holders, Lee said critics misunderstood the company’s strategy.
As an ETH-linked treasury vehicle, BitMine’s value is meant to move in tandem with Ethereum’s prices, he stated, adding that the declines were expected and should be viewed in the same way investors assess losses at index funds during market slumps.
The paper losses do not undermine the company’s long-term strategy, according to Lee.
“BitMine is designed to track the price of $ETH,” Lee wrote. “Crypto is in a downturn, so naturally ETH is down. $BMNR will see ‘unrealized’ losses on our holdings of ETH during these times: it’s not a bug, it’s a feature.”
The Fundstrat Global Advisors co-founder became chairman of the Nasdaq-listed company in June 2025, leading its transition from Bitcoin mining to an Ethereum-focused treasury model.
That same month, Lee initiated a $250 million private placement to expand BitMine’s ETH holdings, positioning the firm among the largest corporate holders of the asset.
This week, BitMine reported its ETH stash grew to approximately 4.3 million units, which represents over 3.5% of the digital asset’s circulating supply.
The firm has staked nearly 2.9 million units, and its MAVAN (Made in America Validator Network) staking solution is on track for launch this quarter.
