Blockchain technology and mining company BTC Digital has gone all-in on Ethereum in a strategic shift and the closure of a $6 million financing round.
The firm, listed under the ticker BTCT on the Nasdaq, announced a “transformative, strategic shift” to fully embrace Ether (ETH) as its “core asset and operational foundation” on Thursday.
The company revealed that it has added a new $1 million Ether position and going forward intends to convert all existing and future Bitcoin (BTC) holdings into ETH to build a “long‑term, productive on‑chain asset pool and to anchor its mid‑ and long‑term growth around the Ethereum ecosystem.”
“Ethereum has emerged as the premier platform for decentralized finance, real‑world asset tokenization, and scalable smart‑contract innovation,” said BTC Digital CEO Siguang Peng.
The firm aims to accumulate “tens of millions of dollars” in ETH reserves by year-end and plans to generate returns through ETH staking, DeFi participation, real-world asset projects, and stablecoins.
Big plans for Ethereum stash
BTC Digital said it is transitioning from a mining-focused business model to a “production-asset-driven digital asset operator.”
Key strategic initiatives include building ETH-backed yield pools, developing stablecoin infrastructure, and expanding partnerships across the Ethereum ecosystem, including DeFi, NFTs, and layer-2 scaling solutions.
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“By centering our digital‑asset strategy on Ethereum, BTCT is creating a robust framework for long‑term value creation, diversified yield sources, and innovative financial products,” added Peng.
There was little reaction in the firm’s stock, which dipped slightly on Thursday, to end the day at $3.44, according to Google Finance.
Further upsides expected
Ether prices tapped a six-month high of $3,600, their highest level since early January, in early trading on Friday. The asset is now up a whopping 40% over the past fortnight.
“Investors are increasingly buying into reserve strategies for Bitcoin and Ethereum, while the US is set to pass landmark legislation that will empower the development of stablecoins and DeFi,” LVRG Research director Nick Ruck told Cointelegraph.
“The reversal of fortunes ETH has experienced compared to a few months ago is staggering, and we will almost certainly see further upside, driven in part by the passing of the CLARITY and GENIUS Acts,” said Nic Puckrin, investor and founder of The Coin Bureau, in a note shared with Cointelegraph.
Ethereum treasury expansion
The firm joins the ranks of Joe Lubin’s gaming firm SharpLink, Tom Lee’s BitMine, digital asset platform Bit Digital, and Blockchain Technology Consensus Solutions, which have all announced Ethereum treasuries recently.
These four companies alone hold around 714,000 ETH, worth around $2.4 billion at current market prices, according to StrategicEthReserves.XYZ.
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