Bitmine to End Massive Ethereum Buying Spree Very Soon

A Big Buyer Is Stepping Back from EthereumETH-4.70%

One of the biggest corporate crypto buyers in the world is getting ready to turn off the faucet.

Speaking at the Token2049 conference in Singapore, Bitmine Immersion Technologies Chairman Tom Lee dropped a major update. He revealed that the company will completely stop buying Ethereum (ETH) once its holdings hit 5% of the token's circulating supply.

Bitmine is currently the world's largest Ethereum treasury firm. Because it has been buying ETH every single week for over a year, this announcement marks a significant shift for the crypto market.

Closing in on the 'Alchemy of 5%' Target

Bitmine calls its aggressive treasury plan the Alchemy of 5%. Right now, the NYSE-listed firm holds 6,016,414 ETH in its treasury. That equals roughly 4.9% of all Ethereum currently in circulation.

To reach its ultimate goal, the company needs only about 100,000 more ETH.

Just last week, Bitmine added another $41 million worth of ETH to its balance sheet. If the firm maintains its recent buying pace, it will hit its 5% cap in about six to seven weeks.

A Five-Year Plan Finished in Just One Year

Reaching this milestone happened much faster than company leadership originally expected.

"We thought this would take five years. It took us a little over a year. More importantly, we did this all in the middle of a bear market. Now we’re going to stop."

Bitmine launched its treasury strategy back in June 2025. Since then, the firm has consistently absorbed fresh supply, providing a steady wall of buy pressure during choppy trading periods.

The Catch: $4.5 Billion in Unrealized Paper Losses

While reaching 5% of Ethereum's circulating supply is a massive corporate milestone, it comes with a steep financial reality.

Bitmine accumulated much of its stash at higher prices during last year's bull market. With Ethereum trading near $2,570 on Wednesday, tracking data reveals the firm is sitting on roughly $4.5 billion in unrealized paper losses.

Despite these paper losses, Lee framed the fast-tracked achievement as a point of pride for the organization.

What Happens After Bitmine Hits the Cap?

Once Bitmine reaches the 5% threshold, its weekly buying spree will come to an official end. Lee described 5% as a hard cap designed to optimize long-term shareholder value.

The firm does not plan to let its share drift higher over time either. Lee previously signaled that Bitmine could even sell Ethereum earned through staking rewards to prevent its total holdings from exceeding 5%.

Market Impact and What Lies Ahead

Ethereum prices experienced a temporary pullback during Asian trading hours following Lee's comments, dropping 5.5% on the day.

Traders are paying close attention to this shift because Bitmine was a persistent buyer for over 15 months. Once Bitmine steps aside, the broader market will need to absorb supply without this steady institutional cushion.

As always, digital asset markets remain subject to sudden price changes and volatility. Past returns of digital assets or past performance do not guarantee future results. You can check live market conditions directly on Bitkub's Ethereum Market.

(Disclosure: Tom Lee is an investor in Dastan, the parent company of Decrypt.)