Bit Digital Inc. Expands Ethereum Holdings with New Purchase of 31,057 ETH Funded by Convertible Notes

In a strategic move to bolster its position in the evolving digital asset landscape, Bit Digital, Inc. (Nasdaq: BTBT), a key player in Ethereum treasury management, has announced the purchase of approximately 31,057 Ethereum (ETH). This acquisition was financed through the company’s recent offering of convertible notes that raised $150 million, demonstrating a commitment to enhancing shareholder value and long-term growth.

Financing Strategy

The offering included the full exercise of over-allotment options by underwriters, highlighting strong investor interest in Bit Digital’s capital strategy. The initial conversion price of the notes was set at $4.16 per share, which represents an 8.2% premium over Bit Digital’s estimated mark-to-market net asset value (mNAV) at the time of pricing. This effectively signifies a strong market endorsement of the company's financial maneuvers.

As of now, Bit Digital holds a substantial total of approximately 150,244 ETH, placing the company among the largest institutional Ethereum treasuries in the market. Noteworthy contributors to the convertible notes offering included renowned crypto-focused investors such as Kraken Financial, Jump Trading Credit, and Jane Street Capital, emphasizing the trust the investment community places in Bit Digital’s strategic vision.

CEO's Perspective

Sam Tabar, the CEO of Bit Digital, expressed the company's intent clearly: "This purchase demonstrates our commitment to building shareholder value by financing ETH accumulation on terms that are accretive to NAV per share. We view ETH as fundamental to digital financial infrastructure and believe current levels provide a compelling long-term entry point."

Tabar elaborated on the company's aim to expand their Ethereum treasury in a cost-effective manner while simultaneously leveraging the growth potential through its majority stake in WhiteFiber, an AI infrastructure provider. This dual approach is part of Bit Digital’s guiding principle to grow NAV per share, ensuring a focus on creating sustained value for its shareholders.

Understanding mNAV

Bit Digital calculates its mark-to-market net asset value (mNAV) by combining the estimated value of its Ethereum holdings and its ownership in WhiteFiber, divided by the total number of outstanding shares. As of September 29, 2025, based on market values, their ETH holdings were valued at approximately $512.7 million, while their stake in WhiteFiber was pegged to be worth $723.1 million, culminating in a total estimated fund value of $1.236 billion. This robust fiscal backbone showcases the company’s promising asset structure and potential for growth.

The Broader Impact

The strategic purchase is seen not only as a solidified investment into digital assets but also as a response to the growing acceptance of cryptocurrencies as vital components of modern finance. Through its active participation in the Ethereum ecosystem, Bit Digital is positioning itself to capitalize on the expanding opportunities presented by the blockchain and digital asset sectors.

The market dynamics of cryptocurrency investing exhibit volatility, and Bit Digital acknowledges that fluctuations can significantly impact valuations. Yet, the company's proactive strategies and commitment to transparency in reporting risks and uncertainties signify a level of accountability that may attract cautious investors looking for stable returns in a volatile landscape.

The strategic initiatives undertaken by Bit Digital point toward a future where the company aims to harness the full potential of Ethereum not just as a store of value but as a pivotal resource for infrastructural development in the digital space. As such, their strategy to accumulate more ETH positions them to be a significant player in the evolution of digital finance.

For more information, consider visiting Bit Digital's official website or following their updates on platforms like LinkedIn and X.