Bitmine’s ETH Hoarding Strategy Amid Massive Losses

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shard_2013Full Member
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#1Apr 25, 2020, 09:14 AM
I saw that Bitmine now holds over 5 million ETH. That’s around 11 to 13 billion dollars depending on ETH price today. But with 5 million in unrealized losses, that’s nearly half their investment gone. I really hope they’ve got a plan for this.
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alt_forkMember
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#2Apr 25, 2020, 09:30 AM
Bitmine is definitely taking a risk with all this ETH. It’s odd they keep piling it on while already losing big time. Seems like they’re stuck in their own strategy... Guess they feel they have to keep betting on Ethereum long-term instead of looking at other options. They won’t admit their plan’s a flop. At least staking might help them recover some losses, but if ETH drops even more, they might be in serious trouble.
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chad88Newbie
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#3Apr 25, 2020, 11:21 AM
Since January, they’ve stacked up on ETH like 15 times. Looks like they’re committed to it. Unlike most public companies, this move is super risky if ETH keeps dropping. Oh, and @Oshosondy, there’s a mistake in your post, you wrote million instead of billion.
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#4Apr 25, 2020, 04:54 PM
No stopping them now! Their faith in ETH must be off the charts. Trying to recover losses with staking rewards? But let’s be real, holding that much while losing 6.5 billion is like dancing on a volcano. If ETH keeps dropping, they might just go belly up. I’d diversify instead of just riding the ETH wave. Keep some in Bitcoin or something that gives consistent returns.
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planktonHero Member
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#5Apr 25, 2020, 07:21 PM
Maybe they want to be the ETH kings! They probably think ETH's gonna bounce back and hit new highs. But honestly, this feels more like gambling. I'm not saying Bitcoin isn't a gamble too, but the odds are better with BTC for solid gains than with ETH.
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#6Apr 25, 2020, 10:09 PM
They’re probably trying to average down, right? 6.5 billion in unrealized losses is nothing to sneeze at. Buying more ETH while it’s cheap might help them break even eventually. Should have pivoted to Bitcoin for sure, but they must have their reasons for sticking with ETH. Though, it’s tough to see ETH skyrocketing given its recent performance and the inflation rate.
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Bitmine’s ETH Hoarding Strategy Amid Massive Losses | Cryptotalks