Tom Lee's Bitmine to Join Russell 1000 as BMNR Stock Falls

Ethereum treasury firm Bitmine will join the Russell 1000 index today after the market close, marking a notable development for the company. The announcement comes as BMNR stock extends its decline, trading around $13 and down over 2% on the day, according to TradingView. The stock has fallen over 16% in the last five days, amid renewed selling pressure in the cryptocurrency market that has driven Ethereum’s price to approximately $1,500.

Bitmine’s inclusion in the Russell 1000, which comprises the largest 1,000 stocks in the Russell 3000, is expected to provide new buying pressure as fund managers rebalance their portfolios. Alongside Bitmine, Elon Musk’s SpaceX and several small-cap stocks will also be added to the index.

Ahead of the inclusion, Bitmine highlighted its financial position, holding 5.6 million ETH on its balance sheet. The company also reported $601 million in cash and marketable securities, $350 million in preferred security BMNP, and no debt. Bitmine has staked over 4.7 million ETH, generating an annualized staking yield of $233 million.

Due to the recent decline in Ethereum’s price, Bitmine’s unrealized loss on its ETH investment now exceeds $10.5 billion, based on an average purchase price of around $3,400. Ethereum has also lost its position as the second-largest cryptocurrency by market cap, falling below Tether’s USDT.

Despite the market downturn, Bitmine has continued its weekly ETH purchases and expects to reach its goal of accumulating 5% of the total ETH supply this year. Bitmine Chairman Tom Lee has stated that the market is showing signs of an early-stage crypto spring, despite the current downtrend.

Source: https://coingape.com/tom-lees-bitmine-to-join-russell-1000-today-as-bmnr-stock-falls/