Bit Digital Raises $162.9 Million for Ethereum Treasury, Plans Bitcoin Swap

TLDR:

Bit Digital raised $162.9M through a stock offering to purchase more Ethereum.
The firm plans to gradually swap 417.6 BTC for ETH to grow staking income.
Ethereum staking already offsets operational costs, boosting long-term appeal.
Analysts warn of short-term risk from holding Bitcoin and Ethereum simultaneously.

Bit Digital has secured $162.9 million from a share sale to bulk up its Ethereum treasury. 

The Nasdaq-listed crypto miner will direct every dollar toward buying ether. It also intends to convert 417.6 bitcoins into the second-largest crypto asset. The plan crowns a pivot begun in 2022 when the firm started staking Ethereum. 

Analysts say the move spotlights growing corporate appetite for yield-bearing crypto holdings. 

Bit Digital Fresh Cash Targets More Ether

The company issued 86.25 million ordinary shares, including 11.25 million from the underwriters’ option. B. Riley Securities led the transaction, with three smaller brokers as co-managers. Consequently, net proceeds reached $162.9 million, the firm confirmed in a July 1 filing. 

Management stated that the full amount will be used to purchase Ether for the treasury and staking. Besides, lower hardware spending frees up cash once used for energy-heavy Bitcoin miners. Wu Blockchain highlighted the shift in a post to the social platform X. 

Nasdaq-listed Bit Digital (BTBT) announced that it raised approximately $162.9 million in net proceeds through additional stock issuance to build an Ethereum treasury and fully transform, and will gradually convert the 417.6 bitcoins currently held into ETH. The company began…

— Wu Blockchain (@WuBlockchain) July 2, 2025

Bit Digital still holds 417.6 bitcoins, now worth roughly $28 million at recent prices. The board plans a paced sale to avoid large price moves. However, analyst account AlvaApp warned the treasury could face dual-asset risk during the swap. 

Treasury data show 24,434 ether already on the balance sheet as of March 31, 2025. Moreover, staking those coins produced a steady yield that offset operating costs last quarter. The company did not disclose a timetable for fresh ETH purchases. 

Traders Track Crypto Price Signals

Ethereum traded near $2,450 at press time. AlvaApp pointed to rising MACD and CRSI readings that usually precede upward moves. Besides, ongoing ETF inflows suggest lasting institutional demand for ether. 

Bit Digital shares slipped 4% after the offering, reflecting dilution concerns. Analysts said the price pullback may offer entry for investors betting on staking income. Consequently, traders will watch the next earnings call for treasury growth updates.

Ether’s staking yield now attracts corporate treasurers once focused solely on Bitcoin. Grayscale’s newly approved multi-asset ETF includes ether, reinforcing that institutional trend. Moreover, Coinbase and SharpLink also list ETH on balance sheets, widening the playbook.

If yields remain attractive, more firms could mirror Bit Digital’s treasury design. However, regulatory clarity and market volatility will shape adoption speed. Executives promise further details when the company files second-quarter results in August.