Bit Digital Raises $150M to Buy ETH, Quits Bitcoin Mining
Bit Digital (NASDAQ: BTBT) has raised $150 million in a public offering to accelerate its pivot away from Bitcoin mining and toward Ethereum staking and treasury operations.
The company priced 75 million shares at $2 each, with an additional 11.25 million shares available to underwriters via a 30-day option. Proceeds from the offering will be used to acquire Ethereum, marking one of the largest public ETH treasury commitments to date.
The raise formalizes Bit Digital’s strategic exit from Bitcoin mining, a business the company now plans to sell or wind down. As of March 31, Bit Digital held approximately 24,434 ETH and 418 BTC, with plans to fully convert its Bitcoin holdings into Ethereum over time.
The company’s exit from Bitcoin mining underscores broader challenges facing firms with limited control over physical infrastructure, particularly as mining economics tighten across the industry. Bit Digital had relied on third-party hosting partners like Coinmint to operate its mining fleet, but the termination of that agreement late last year left its mining operations in disarray.
Bit Digital’s bitcoin mining capitulation follows earlier signs of its growing Ethereum conviction. In June 2024, it sold 452 BTC to purchase ETH at an exchange rate of around 0.048 ETH per BTC. Since then, however, the ETH/BTC ratio has fallen to below 0.023, diminishing the relative value of that position. Despite the unfavorable trend, Bit Digital has doubled down on Ethereum as its core asset.
Alongside the crypto treasury pivot, Bit Digital has also filed confidentially for an IPO of its wholly owned high-performance computing (HPC) subsidiary, WhiteFiber Inc. The timing and terms of the offering remain undisclosed, but the move highlights Bit Digital’s expanding focus on Ethereum infrastructure and AI-aligned compute services.
