Tom Lee’s BitMine Adds $838 Million More in Ethereum Amid Market Chaos

As crypto markets wobble under macroeconomic pressure, one heavyweight investor is doing the opposite of panic selling.
Tom Lee’s BitMine Immersion Technologies has added a massive $838 million in Ethereum (ETH) to its holdings, cementing its position as one of the largest institutional ETH holders globally.

This move, made amid widespread market volatility and risk-off sentiment, underscores BitMine’s — and Lee’s — long-term confidence in Ethereum’s structural dominance.

BitMine’s Ethereum Bet Gets Bigger

According to a filing released Friday, BitMine’s Ethereum treasury now tops 3.24 million ETH, worth approximately $14.9 billion at current market prices.
The latest purchase of $838 million was executed across multiple over-the-counter (OTC) desks between October 2–5, 2025.

The firm confirmed that the funds originated from its recent $365 million equity raise, combined with existing stablecoin reserves and realized Bitcoin profits.

“Ethereum continues to show exceptional fundamentals despite short-term price turbulence,” said Tom Lee, BitMine’s co-founder and chief strategist.
“Our thesis is simple — institutional adoption of Ethereum’s DeFi and staking economy is still in its early innings.”

A Contrarian Move Amid Market Chaos

The timing of BitMine’s accumulation surprised many analysts. Over the past week, ETH slipped below $4,500, dragged by $300 million in ETF outflows and a wider correction in Bitcoin and altcoins.
Still, institutional data paints a different picture — Ethereum staking inflows hit a three-month high, and on-chain active addresses surged 12% week-over-week, hinting at continued network engagement.

CryptoQuant data also shows a sharp drop in ETH reserves on exchanges, typically a bullish indicator suggesting coins are moving into long-term custody or staking contracts.

Ethereum’s Institutional Story Strengthens

BitMine’s accumulation aligns with a growing trend of institutional accumulation of Ethereum.
Earlier this month, Grayscale activated staking for its GSOL Solana ETP and expanded ETH allocations across multiple funds, reflecting a broader institutional pivot toward yield-bearing digital assets.

Meanwhile, Ethereum ETFs have amassed more than 6.4 million ETH in custody, and liquid staking protocols like Lido and Rocket Pool continue to grow.
According to Glassnode, over 32% of Ethereum’s circulating supply is now staked — a figure unseen in Bitcoin or other Layer-1 networks.

BitMine’s Multi-Layered ETH Strategy

Unlike passive holders, BitMine actively deploys its ETH across multiple yield and DeFi layers:

• Staking & Restaking: Through EigenLayer and Lido, BitMine locks ETH for validator income and rehypothecated yield.
• DeFi Liquidity: The firm provides liquidity to Ethereum-based decentralized exchanges and lending pools.
• Tokenized Treasuries: BitMine is exploring tokenized bonds on Ethereum for future capital diversification.

This multi-channel approach maximizes yield potential while deepening the company’s operational role in Ethereum’s growing DeFi stack.

Tom Lee’s Ethereum Outlook

Tom Lee, known for his bullish macro calls on Bitcoin and Ethereum, reiterated his long-term view that ETH will outperform BTC during the next expansion cycle.
He projects a potential $8,000–$10,000 ETH target by late 2026, citing the network’s scalability improvements via Danksharding and rollup adoption.

“Ethereum is the backbone of tokenization, AI integration, and global settlement,” Lee said. “Its monetary premium is just beginning to be understood by traditional finance.”

Market Reactions

Following the news, ETH briefly rebounded 2.3%, touching $4,512 before retracing. Analysts note that large treasury purchases often act as short-term volatility dampeners and psychological support for the broader market.

Market watchers now anticipate whether BitMine’s bold move could trigger copycat strategies among funds like Galaxy Digital or Franklin Templeton, both of which have hinted at expanding their ETH exposure.

Conclusion

While fear and uncertainty grip the market, BitMine’s $838 million Ethereum bet reinforces a critical narrative: institutional conviction in Ethereum’s long-term value proposition is stronger than ever.

In Tom Lee’s words, “When others see chaos, we see opportunity — and Ethereum remains the most asymmetric one in all of crypto.”