Ethereum treasury companies grow as spot ETFs see fifth consecutive month of inflows
Ethereum’s price has experienced a slight dip from its recent high of $4,650, currently hovering around $4,300 as of Tuesday morning. This movement coincides with the news that US spot ethereum ETFs have seen over $1 billion in inflows in the past week, marking the fifth consecutive month of positive inflows totaling approximately $11.1 billion. This surge in interest has propelled the network’s monthly on-chain volume to a four-year high, surpassing $346 billion in August. The last time ethereum experienced such robust on-chain activity was back in May 2021.
In light of these developments, various Ethereum treasury companies have been actively making announcements about their growing crypto holdings and participation in the decentralized finance sector. BitMine Immersion Technologies revealed that its holdings now include around 1.9 million ethereum tokens, 192 bitcoin, and $635 million in cash, amounting to a total portfolio value of nearly $9 billion. Since implementing its treasury strategy at the end of June, BitMine has swiftly emerged as the largest ethereum treasury firm and the second-largest crypto treasury entity overall, trailing only behind bitcoin heavyweight Strategy.
SharpLink Gaming also disclosed its recent purchase of 39,008 ethereum tokens at an average price of $4,531, coupled with a successful fundraising round that generated $46.6 million through its at-the-market facility in the final week of August. The company’s total holdings now stand at 837,230 ethereum tokens valued at over $3.6 billion. Additionally, Peter Thiel’s Founders Fund-backed ETHZilla announced its intention to allocate approximately $100 million of ethereum into the EtherFi decentralized finance protocol to capitalize on higher yields from its crypto assets. This move, which marks ETHZilla’s initial foray into DeFi protocols, comes as the firm discloses its ownership of 102,246 ethereum tokens and $221 million in cash equivalents.
The Ether Machine, backed by crypto firm Blockchains founder Jeffery Berns, has secured a commitment of 150,000 ethereum tokens totaling approximately $654 million in financing. This bolstered the company’s overall crypto holdings to 495,362 ethereum tokens valued at nearly $2.2 billion, alongside $367 million in cash reserves for future acquisitions. With plans to go public following an imminent business merger involving Dynamix Corporation and The Ether Reserve LLC, The Ether Machine positions itself as the third-largest ethereum treasury company behind BitMine and SharpLink.
Lastly, Hong Kong-based Yunfeng Financial Group Limited has signaled its strategic expansion through increased investments in digital currencies, particularly ethereum. Following approval from its board, Yunfeng deployed funds from internal cash reserves to secure 10,000 ethereum tokens. This move underscores the company’s affiliation with Alibaba founder Jack Ma and signifies its commitment to the burgeoning digital currency landscape, as noted by Etherealize founder Vivek Raman.
