[Breaking] Raising $20 billion to buy Ether! Is there really unlimited ammo?

August 12, 2025
On August 12, BitMine Immersion Technologies (BMNR) submitted a supplemental prospectus to the U.S. SEC, significantly increasing the issuance cap for ATM (At-The-Market) stock offerings under the "shelf registration" to $20 billion. This means the company can flexibly sell new shares directly to the secondary market for fundraising based on market conditions in the future, without having to issue them all at once. Previously, when BMNR first disclosed the ATM plan on July 9, the cap was $2 billion, which was raised to $4.5 billion on July 24, and now it has been directly raised to $20 billion, multiplying the scale several times. For a company with a current market value of approximately $6.6 billion, a cap of $20 billion is theoretically sufficient to issue new shares several times the existing equity, signaling "financial ambition."

01 What is ATM (At-The-Market Offering)? ATM, short for At-The-Market Offering, is a flexible secondary market financing method. It differs from traditional private placements or underwriting: Flexibility: Companies can sell shares in batches based on stock price, trading volume, and market sentiment, without having to lock in an issue price all at once. Transparency: The issuance process is completed directly in the secondary market, without the need for large-scale roadshows. Risk: Frequent, small-batch sell-offs may put ongoing pressure on stock prices, especially when the market anticipates that the company will be in a long-term "sell-off" mode. In short, ATM is like providing a company with a "withdrawal at any time" channel, but the act of withdrawing itself may cause investors to worry about "dilution of shares."

02 Impact on ETH Price
3.1 If 20 billion USD directly enters the ETH market, given the current ETH circulating market value of 400 to 450 billion USD, 20 billion accounts for approximately 4.4% to 5%. If concentrated buying occurs, it may lead to a short-term surge of 30% to 50%, accompanied by a significant increase in trading volume.
3.2 The actual execution discount of 20 billion is the upper limit and does not mean it will be utilized all at once. Large funds usually buy in batches and at selected times (such as TWAP, OTC) to reduce slippage and costs. If spread over 6 to 12 months for execution, the short-term impact will be weakened, but it will form continued buying support.
3.3 The market sentiment effect may lead to an early increase in ETH prices even if the final buying volume is relatively small, as the expectation of "potential massive buying" can drive this change. Scenario simulation: concentrated buying → sharp rise + high volatility. Moderate phased buying → steady increase, controllable volatility. Partial buying → limited impact, more inclined towards favorable speculation on themes.

03 The impact on BMNR stock price
Combining current data (stock price approximately $59.68, market value approximately 6.6 billion USD): Issue size (hundred million USD) New shares (million shares) Dilution ratio Fundraising amount/market value ratio 1016.7513.1%15%5083.7542.9%75%200335.075%+300% (see table in Figure 1)
+Impact Analysis: Short-term: Market concerns over potential large-scale dilution may suppress stock prices. Medium to long-term: If funds are invested in high-return projects (such as ETH staking business, hash power expansion, and mining mergers), profit growth can alleviate dilution pressure. Key: Execution pace and transparency of use. If the funding usage plan is clear and effective, investor sentiment may improve; conversely, ATM may become a long-term pressure on stock prices.

04📌 Conclusion
The $20 billion ATM of BMNR is a double-edged sword: it provides the company with almost unlimited financing capacity but also exposes existing shareholders to potential dilution and stock price pressure. As for ETH, if a large amount of capital really enters the spot market, it may trigger a significant rise in the short term, but the ultimate impact depends on the pace of fund utilization and the execution plan.