Peter Thiel Bets Big: PayPal Mafia Billionaire Snags 9% of Ethereum Treasury Startup
Silicon Valley's favorite contrarian just doubled down on crypto—again.
Thiel's Latest Web3 Gamble
The PayPal co-founder's fund quietly acquired a 9% stake in an Ethereum-based treasury management platform, signaling institutional-grade confidence in DeFi infrastructure. No word yet on whether this replaces his rumored Bitcoin cold wallet buried in a New Zealand volcano.
Why This Move Matters
Thiel's track record with early-stage tech bets (Facebook, Palantir) gives this play outsized weight. The startup reportedly helps DAOs manage reserves—because apparently even decentralized orgs need someone to count their magic internet money.
The Cynical Take
Another 'strategic investment' that just happens to align perfectly with pumping his existing ETH holdings. But hey—at least it's not another ape JPEG fund.
From Mining to Ethereum Treasury
BitMine, which once focused on Bitcoin mining, has shifted its strategy under CEO Jonathan Bates and newly appointed chairman Tom Lee. The company now holds more than 163,000 ETH, currently valued at around $500m, making it one of the largest Ethereum treasuries among public firms.
Lee, co-founder of Fundstrat Global Advisors, has long championed Ethereum’s role in decentralized finance, stablecoins, and smart contract applications. He recently described the asset as “on the brink of a major breakout,” driven by increasing adoption across real-world payment systems and staking protocols.
Thiel’s Investment Adds Credibility to BitMine’s Ethereum Strategy
The private placement that brought Thiel on board closed on July 9. It raised $250m. In addition, it attracted heavyweight backing from Pantera Capital, Galaxy Digital and Kraken. Together, these investments signal strong crypto-native support for BitMine’s strategic shift.
The SEC filing clarifies that Thiel’s investment is passive, with no current plans to influence control of the company. All voting and dispositive powers are shared among the Delaware-registered entities involved in the purchase.
Still, Thiel’s involvement carries symbolic weight. Known for making early bets on paradigm-shifting technologies, his backing of BitMine places Ethereum in the same camp as other transformational ventures he’s supported, from Facebook to SpaceX. It also aligns him closely with Lee’s vision of Ethereum as the digital infrastructure for the next financial era.
The timing is notable. Earlier this month, Thiel joined a consortium of tech billionaires backing Erebor, a new US bank aimed at filling the gap left by Silicon Valley Bank’s collapse. The initiative is designed to support startups and crypto firms with more reliable access to capital.
