Tom Lee Seeks Shareholder Approval to Expand BitMine Shares to 50B

Core Viewpoint - BitMine Immersion Technologies (BMNR) is seeking shareholder approval to increase its authorized share count from 500 million to 50 billion, primarily to facilitate future stock splits as its valuation aligns with Ethereum's price movements [1][9]. Share Expansion Proposal - Tom Lee, the chairman, emphasized that the proposal is a structural adjustment and does not imply an immediate issuance of 50 billion shares [3]. - The increase in authorized shares is intended to prepare for potential stock splits, especially if Ethereum's price rises significantly [4][7]. Stock Performance and Valuation - Following the announcement, BitMine shares rose approximately 14%, trading near $30.93, indicating investor support for the proposal [4]. - Lee noted that if Ethereum's price reaches $22,000, BitMine's stock could rise to around $500, and under more aggressive scenarios, it could approach $5,000 [5]. Company Strategy and Holdings - BitMine has positioned itself as the largest Ethereum-focused digital asset treasury, currently holding over 4.11 million ETH, which is about 3.41% of Ethereum's circulating supply [6]. - The company's strategy has shifted towards accumulating and staking ETH to generate yield, moving away from Bitcoin-related operations [7]. Investor Reactions - The proposal has elicited mixed reactions from investors, with some expressing concerns about potential dilution resulting from the increase in authorized shares [8][9].