Bitmine -Sinking (BMNR)Ether Treasury strategy company helped by Fundstrat’s Thomas Lee, is the latest Red Hot Crypto Proxy game in the city.
The company’s shares more than doubled on Thursday and topped $ 140, and now over 3,000% is collecting less than a week since the company announced the collection of $ 250 million by selling shares to acquire ETH.
The private location offer, price for $ 4.50 per Share, and due to close today, attracted institutional investors, including Founders Fund, Pantera, Falconx, Kraken, Galaxy Digital, DCG.
In its core, Bitmine places itself as a listed power of attorney for ether exposure, similar to how Michael Saylor’s strategy (Mstr) became a geared Bitcoin insert. The procedure has gained traction recently as investors look for new ways to access crypto through public shares.
The company initially focused on crypto mining operation using submerging cooling and kept $ 16 million in Bitcoin before fundraising.
Sharplink déjà vu
But a similar crypto -Finance Ministry’s rapid increase and falls can cause a precautionary narrative.
The parabolic increase in BMNR mirrors the trade’s behavior of Sharplink -Games (Sbet)Another public company that placed itself as an Eth Treasury company last month under the leadership of Consensys co-founder Joseph Lubin.
Sharplink rose as much as 4,000% in days after its collection of $ 450 million collection. Shares since they threw over 90% from Peak as the company closed its ETH acquisition and the early investors in the private location sold stock locking in their profits.
Bitmin’s valuation, with a market value over $ 800 million at current prices, already prices in aggressive assumptions about the company’s future ETH gains.
Retail investors chasing the momentum must step carefully.
Read more: Ethereum Treasury Firm Sharplink Gaming jumps 70% – but there may be a turn
