Peter Thiel Backs BitMine’s $500M Ethereum Treasury Play—Here’s Why It Matters

Silicon Valley's favorite contrarian just doubled down on crypto. Peter Thiel—the billionaire who called Bitcoin 'digital gold'—is throwing weight behind BitMine's audacious $500M Ethereum treasury bet. This isn't your grandma's bond portfolio.

The ETH vault strategy

BitMine's building a war chest that'd make nation-states blink. That half-billion? Parked in Ethereum—staking rewards, DeFi yield, and all. Because why settle for 0.01% APY when you can play in the crypto casino?

Wall Street's worst nightmare

Thiel's move screams institutional FOMO. While traditional finance still debates 'blockchain not Bitcoin,' the smart money's busy rewriting the rules. Bonus jab: Your bank's 'innovation lab' probably still runs on Excel.

One thing's clear—when the PayPal Mafia starts stacking ETH, it's time to pay attention. The old financial system won't die quietly... but the vultures are circling.

TLDR

• Peter Thiel acquired a 9.1% stake in BitMine Immersion Technologies through multiple entities, purchasing 5,094,000 shares
• BitMine has accumulated over 163,000 ETH worth nearly $500 million, double their initial $250 million commitment
• The company is now the second-largest public Ethereum holder behind SharpLink Gaming
• BMNR stock jumped 12.5% in after-hours trading following the Thiel investment disclosure
• BitMine transitioned to an Ethereum treasury strategy in June under chairman Tom Lee from Fundstrat

PayPal co-founder Peter Thiel has taken a major stake in BitMine Immersion Technologies, acquiring 9.1% of the ethereum treasury company. The investment represents a strong vote of confidence in the firm’s strategy to accumulate large amounts of Ethereum.

$BMNR PETER THIEL BUYS 9% STAKE

Recently filed for a 9.1% position in @fundstrat backed BitMine Technologies.

The stock jumped up 14.5% AH. pic.twitter.com/902OszACEP

— Samsolid (@samsolid57) July 15, 2025

SEC filings revealed that Thiel-linked entities purchased 5,094,000 common shares in BitMine. The stake was acquired through multiple affiliated entities connected to the billionaire investor.

BitMine’s stock price surged 12.5% in after-hours trading on Monday following news of Thiel’s investment. The NYSE-listed company has seen extreme volatility since launching its Ethereum treasury strategy in late June.

BitMine’s Ethereum Accumulation Strategy

BitMine disclosed on July 14 that it now holds over 163,000 ETH worth nearly $500 million. This amount is double the company’s initial $250 million commitment when it pivoted to become an Ethereum treasury firm.

The Nevada-based company raised $250 million through a private placement in June. The fundraising round included participation from Pantera Capital, Galaxy Digital, and Kraken alongside Thiel’s Founders Fund.

BitMine appointed Fundstrat co-founder Tom Lee as Chairman of the Board during the transition. Lee also serves as Chief Investment Officer at Fundstrat Global Advisors.

The private placement involved selling over 55 million shares at $4.50 each. Proceeds were designated specifically for expanding the company’s Ethereum reserves.

Competition in Ethereum Treasury Market

BitMine’s accumulation makes it the second-largest public holder of Ethereum behind SharpLink Gaming. SharpLink Gaming holds approximately 300,000 ETH and announced a $225 million Ethereum acquisition earlier this month.

The race for Ethereum treasury positions has intensified over the past month. SharpLink Gaming overtook the Ethereum Foundation as the largest ETH holder among public entities.

Both companies leading the Ethereum treasury trend have connections to the cryptocurrency. Joe Lubin, who chairs SharpLink’s board, is an Ethereum co-founder.

Peter Thiel also has historical ties to Ethereum development. In 2014, the Thiel Foundation awarded Ethereum co-founder Vitalik Buterin a $100,000 grant to develop the project full-time.

BitMine’s stock has experienced extreme volatility since announcing its Ethereum strategy. Closing prices have ranged from $4.26 to $135 over recent weeks.

On Monday, BMNR stock peaked at $59, representing a 45% surge from Friday’s closing price of $40.62. However, by market close, the stock had fallen to $41.02, showing less than 1% daily gains.

Ethereum’s price ROSE 5.63% following the BitMine developments, climbing past $3,144. ETH futures open interest increased 7% to over $46 billion, indicating bullish sentiment among traders.