Bitmine Unveils $300M Preferred Stock Plan With 9.5% Dividend, Following Strategy’s Blueprint

Key Highlights

• Bitmine plans to issue up to $300 million in perpetual preferred shares priced at $100 each
• Investors will receive a 9.5% annual dividend distributed weekly, supported by Ethereum staking income
• Trading will commence on NYSE under ticker symbol BMNP
• Company controls more than 5.3 million ETH valued at approximately $10 billion, facing nearly $9 billion in paper losses
• The initiative replicates Strategy’s successful STRC preferred stock approach, which reached $8.5 billion in under a year

Bitmine Immersion Technologies has unveiled plans for a $300 million preferred stock issuance as the company seeks alternative financing methods to support its Ethereum accumulation strategy. The initiative takes direct inspiration from the approach pioneered by Michael Saylor’s bitcoin-focused enterprise, Strategy.

According to Wednesday’s SEC filing, the firm intends to offer 3 million shares of Series A Perpetual Preferred Stock at a price point of $100 per unit. Trading on the New York Stock Exchange under ticker BMNP is expected to begin within a month of share issuance.

Shareholders will collect a guaranteed 9.5% annual dividend, translating to $9.50 annually per share, distributed through weekly payments. The company intends to finance these dividend obligations using income generated from staking its Ether reserves.

Preferred equity represents a hybrid instrument positioned between common stock and fixed-income securities. Holders receive consistent distributions instead of relying solely on capital appreciation potential.

Strategy’s Blueprint Shapes Bitmine’s Approach

Strategy introduced its perpetual preferred offering, STRC, during July 2025. The instrument has expanded to an $8.5 billion market capitalization, establishing itself as the world’s largest preferred stock by this metric.

While Bitmine offers a fixed 9.5% yield, STRC employs a floating rate mechanism with monthly adjustments designed to maintain trading near the $100 par value. Strategy’s president Phong Le revealed that approximately 80% of STRC investors are individual retail participants.

Strive, another bitcoin treasury operator, similarly launched dividend-bearing preferred shares trading under ticker SATA, demonstrating the model’s growing adoption throughout the cryptocurrency corporate sector.

Ethereum Holdings Face Valuation Challenges

Bitmine’s portfolio contains over 5.3 million ETH, representing approximately 4.5% of Ethereum’s overall circulating supply. Management reports achieving 90% completion of its “Alchemy of 5%” accumulation objective within just 11 months.

Based on current market valuations, the holdings total roughly $10 billion. However, the position carries an estimated $9 billion unrealized deficit, as ETH has plummeted significantly from the approximately $5,000 level reached in October.

Ether declined over 12% during the previous seven-day period and touched a 14-month bottom at $1,734 during Thursday’s early trading session.

Bitmine’s common shares fell almost 6% on Wednesday to $16.90, marking the lowest price since the company transitioned to an Ethereum treasury model in June 2025.

Company chairman Tom Lee stated Monday that ETH valuations fail to reflect what he characterizes as strengthening fundamentals across the Ethereum network.

Funds raised through the offering will support general corporate objectives, including additional ETH purchases, expansion of staking operations via its Made in America Validator Network, and common stock buyback programs.

The launch arrives during a challenging period for preferred stock instruments across the sector. Strategy’s STRC traded 5% below its $100 par value on Wednesday, while Strive’s SATA declined to approximately $97, as market participants express skepticism about companies’ capacity to maintain dividend distributions amid declining cryptocurrency valuations.

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