Tom Lee’s Ethereum Treasury Makes Bold Move: $1B Stock Buyback Signals Bullish Bet

Fundstrat’s crypto arm just dropped a bombshell—$1 billion in buybacks, doubling down on Ethereum’s future. Here’s why Wall Street’s sweating.

The Play: Confidence or Desperation?

Tom Lee’s team isn’t nibbling—they’re gorging. A billion-dollar buyback screams conviction (or maybe just FOMO) as ETH flirts with institutional adoption. Meanwhile, traditional finance clutches its pearls.

Timing the Market—or the Narrative?

Announced mid-2025, the move reeks of strategic opportunism—ETH’s infrastructure boom meets TradFi’s existential crisis. Bonus jab: At least they didn’t spend it on another metaverse pivot.

The Bottom Line

Whether this moons or crashes, one thing’s clear: Crypto treasuries now play by their own rules. Watch the dominos fall.

Despite the downturn in shares, Bitmine’s Chairman Thomas “Tom” Lee seemingly dismissed the notion that shareholders were disappointed by the buyback decision.

“I think the decline in the shares just coincides with the share registration — those shares are now registered and available for trading today,” said Lee in an interview with Bloomberg.

In his statement written on the official press release, he said the buyback was necessary for the sake of the company’s sustainability, rather than simply purchasing more Ethereum for the company’s reserves. As of July 30, the company holds around 625,000 ETH in its reserves.

“In our road to achieving ‘the alchemy of 5%’ of ETH, there may be times when the best expected return of our capital is to acquire our own shares,” continued Lee.

Bitmine’s shift to an Ethereum treasury

On June 30, small-scale crypto mining company Bitmine Immersion shifted from its initial Bitcoin (BTC) treasury strategy to an Ether-centered one. This shift was marked by two major corporate decisions from the company. First, the firm initiated a significant $250 million private placement for Ethereum.

Second, the company appointed Fundstrat founder Tom Lee as the new chairman for Bitmine, citing his experience in managing Ethereum funds as the reason why he was chosen.

After announcing that the company would raise capital to add more ETH to its balance sheet, the stock surged by nearly 700%, zooming past its all-time high. At the moment, the company holds a market cap of $3.59 billion.