2026-01-02 23:23:29

Chairman Tom Lee of chip and immersion cooling technology company Bitmine Immersion Technologies (BMNR) submitted a "radical" proposal to shareholders on Friday—raising the authorized shares from 500 million to 50 billion. The news was met with a very positive market response, with BMNR's stock price rising 14% on the news, closing at $30.93 as of 2:48 PM ET.

Lee explained that the primary reason for increasing the authorized shares is to enhance the company's flexibility in the capital markets, facilitating future mergers and acquisitions as well as other strategic adjustments. However, he also pointed out an interesting phenomenon—BMNR's stock price movement is highly correlated with Ethereum's price. When Ethereum's price surges significantly, the company's stock price tends to rise accordingly, which could lead to periods of overvaluation. By increasing the authorized shares, the company can more flexibly issue stock, helping to keep the stock price within a relatively reasonable range.

ETH1,94%

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GasFeeVictim

· 01-02 23:46

Same old rhetoric, authorizing shares to increase tenfold just to dilute? --- ETH rises and everyone follows, ETH falls and everyone gets buried—this business model can't hold up --- Brother Li's recent moves are indeed impressive, but I always feel like he's paving the way for a large-scale financing later --- Started hyping at just over 30 yuan, let's wait and see what the story unfolds --- Immersive cooling sounds impressive, but honestly, it's just following the crypto market's ups and downs, with no real competitive advantage --- Isn't the high correlation between the stock price and ETH a disadvantage? Yet they even tout it as an advantage—laughable --- Emm, with 50 billion shares authorized, could it accidentally turn into the next Dogecoin story? --- I've never heard of using dilution to control the stock price? That's truly genius

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FomoAnxiety

· 01-02 23:44

Another share issuance... Looks like they want to dilute the retail investors again. No matter how high the increase, it can't save the situation. Following ETH's fluctuations is just ridiculous. 500 billion shares? Do they want the stock price to stay cheap forever? The nice way to put it is flexibility, but in reality, it's just for easy financing at any time. When ETH goes up, it rises; when ETH falls, what then? Relying on chips and cooling systems to make a living—at the end of the day, it's still a gamble on the coin price.

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blockBoy

· 01-02 23:42

Whoa, 10x authorized shares? Are they planning to dilute to the horizon? Wait, so tightly bound to ETH? Then I might as well go all-in on ETH directly. Oh no, is the submerged cooling track really a thing? Or is it just another hype concept? The stock price is only around $30. After expanding this scale by 10 times, will it just jump back to a few dollars... Got it, they just want to use dilution to increase liquidity, a classic move. This logic is a bit ridiculous. To be nice, it's called flexibility, but really they're just afraid of running out of ammunition during a crash. A chip company actually cares so much about ETH trends? Not professional enough, brother. Talking about M&A strategies, I think it's just pie-in-the-sky promises to stop the bleeding. If this 14% increase drops back later, it'll be hilarious. Are mining-related companies still active? I thought they were all done for.

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0xSleepDeprived

· 01-02 23:26

Damn, 50 billion shares? The dilution is really intense. Wait, highly related to Ethereum? That means if ETH crashes, we're all doomed too. Tom Lee's words sound nice, but he's probably just leaving himself room to issue more tokens. A 14% increase has tricked many retail investors into buying in, haha. Authorized shares multiplied a hundredfold, probably planning some big moves? But the chip + cooling sector does have some imagination space, though the pace is indeed a bit fast. Companies that rely on ETH for revenue still have to look at the crypto market's mood. Who knows how likely this proposal is to pass?

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