Bitmine Files $300M Preferred Stock Offering to Buy More Ethereum

Benzinga reported Thursday that Bitmine Immersion has filed with the SEC to raise up to $300 million through a new class of preferred shares. The company plans to deploy the capital primarily toward acquiring additional Ethereum and expanding its staking operations.

What Bitmine Is Offering

The filing covers 3 million shares of Series A perpetual preferred stock. Each share carries a $100 base value and pays a 9.5% fixed cumulative annual dividend. Distributions will be made weekly in cash. Any unpaid dividends will compound, beginning at a 9.55% rate and stepping up by 5 basis points each period. That rate can climb as high as 15%. The preferred shares will list on the NYSE under the ticker BMNP within 30 days of first issuance. Investment banks Moelis and Cantor are serving as joint lead bookrunners on the deal.

A Strategy Borrowed From Strategy

The structure closely resembles the preferred stock program run by Strategy Inc. (NASDAQ: MSTR), which pays an 11.5% annual dividend on its STRC shares. That program has grown to roughly $10.5 billion in total notional since launching in mid-2025. Strategy built its treasury model around Bitcoin. Bitmine is attempting the same architecture with Ethereum as the underlying reserve asset.

Schiff Fires Back

Gold advocate and longtime crypto skeptic Peter Schiff did not hold back. Schiff told Benzinga the Bitmine raise was copying a flawed template. He argued investors have little reason to choose BMNP when Strategy’s own preferred shares already yield above 12% on the open market. He predicted the offering would fail at launch. Schiff has long criticised leveraged digital-asset treasury strategies as structurally unsound.

Losses Already Mounting

The timing of the raise is difficult. Ethereum was trading near $1,774 on Thursday, down more than 4% on the day and roughly 32% over the prior year. Bitmine currently holds more than 5.4 million ETH on its books and is sitting on approximately $9.2 billion in unrealized losses on that position. The company nonetheless added nearly 26,500 ETH as recently as June 1, signalling continued conviction despite the drawdown. Shares of BMNR were pressing a key $16 support level in pre-market trading, with no clear technical floor visible until the $13 to $14 range.

The raise arrives at a moment of broad pressure on crypto-adjacent equities, with Bitcoin also softening below $67,000.

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