BitMine stock up 14% as Tom Lee asks shareholders to approve ‘dramatic’ share increase
BitMine's stock rose 14% after Chairman Tom Lee requested shareholder approval for a massive 100-fold increase in authorized shares.Summary
Tom Lee, chairman of Bitmine Immersion Technologies (BMNR), has requested shareholders approve increasing the company's authorized shares from 500 million to 50 billion, a move he termed "dramatic."
Following this announcement, BitMine's stock surged 14% on Friday, trading at $30.93. Lee explained that the primary reasons for the increase are to accommodate stock splits, facilitate capital market activities and acquisitions, and keep the share price at a reasonable level, as the stock price closely tracks Ethereum.
Lee noted that if Ethereum rises significantly (e.g., to $22,000 or $62,500), BitMine's stock could reach $500 or $1,500, respectively, which he believes is too high for most investors who prefer prices around $25. BitMine is the largest Ethereum digital asset treasury, holding approximately 3.41% of ETH's circulating supply, recently increasing its holdings to 4,110,525 ETH. Shareholders have until January 14 to vote on the proposal.
(Source：The Block)