Its not just bitcoin. Companies are now adding ethereum to their balance sheets.
So far, the companies taking this approach are mainly smaller names in the crypto world, such as BitMine Immersion Technologies (BMNR), chaired by Fundstrat's Tom Lee. One larger player — Coinbase Global (COIN), the parent company of trading network Coinbase — has more than $440 million in holdings, according to crypto and investment tracker CoinGecko.
When Coinbase announced in a 2021 blog post that it would become the first publicly traded company to hold ethereum and other assets, in addition to bitcoin, it stated, "We believe that in the future, more and more companies will hold crypto assets on their balance sheet."
Ethereum has surged 60% over the past month to hover near $3,800, its highest level since January. The second-largest cryptocurrency by market cap has yet to reclaim its 2021 high north of $4,600.
Ethereum allows developers to write programs or contracts that run entirely on its blockchain, or network. It currently leads as the dominant infrastructure that allows businesses and consumers to transact with each other directly without banks, with a market share of more than 51%.
"Ethereum lets anyone — whether it's a crypto project, a factory, an artist, an influencer — create their own token and thus their own community and incentivize communities with an economy basically," Ray Youssef, CEO of crypto marketplace NoOnes, told Yahoo Finance.
He called tokenization ethereum's "killer app."
"You could argue it has more utility than bitcoin," he said.
That utility is why firms like BitMine and SharpLink Gaming have increasingly been raising capital to buy ETH, similar to how Strategy (MSTR) and a slew of other companies have added bitcoin to their balance sheets in recent months.
Read more: Can you buy crypto with a credit card? See the pros and cons.
As with bitcoin, the approach can be risky due to volatile prices. Ethereum prices tumbled in April when President Trump's "Liberation Day" tariffs announcement roiled markets. The rewards have not been as high as those that bitcoin has offered either: The return on ethereum year to date is 14%, versus bitcoin's 26%.
Crypto miner BitMine Immersion Technologies recently announced it holds more than $1 billion in ethereum, or roughly 300,000 tokens. The company, which went public on June 5, has positioned itself as a pure-play on ethereum, betting that owning it is akin to owning the underlying infrastructure behind the convergence of crypto and financial services.
"Acquiring $1 billion of ETH1 is a clear signal of our conviction in ethereum's long-term value," Jonathan Bates, CEO of BitMine, said in the press release announcing the news. He noted that the company was "committed to Ethereum's continued growth."
BitMine shares surged 25% in one session last week after an SEC filing revealed that billionaire Peter Thiel purchased 9.1% of the firm's common stock through his investment funds.
Gaming and sports betting company SharpLink Gaming (SBET) and blockchain tech firm BTCS (BTCS) have also pursued similar treasury strategies. Shares of each are up nearly 200% over the past month.
Earlier this month, computing firm Bit Digital (BTBT) announced that it had shifted its entire treasury from bitcoin to ethereum.
"We believe Ethereum has the ability to rewrite the entire financial system," Sam Tabar, CEO of Bit Digital, said in a press release. Year to date, the stock is up 17%.
Ethereum's surge coincides with the GENIUS Act, landmark legislation signed by President Trump last Friday, moving through Congress. The new law regulates stablecoins, digital tokens backed by assets like the US dollar and short-term treasuries.
Optimism over stablecoin's adoption has sent shares of issuer Circle (CRCL) up more than 600% since its IPO on June 5. The company's USD Coins (USDC-USD) run on ethereum.
"If real companies and institutional investors are innovating on the blockchain, doesn't that make blockchain networks, and by implication, blockchain network assets (e.g ETH) valuable?" Bernstein's Gautam Chhugani asked in a note last month. "Any company that uses stablecoin tech pays transaction fees to the Ethereum network."
To be sure, not all companies see the same value in ethereum as they do in bitcoin.
When asked directly whether Strategy would add ETH to its holdings, executive chairman Michael Saylor said in an interview with The Street, "MicroStrategy wouldn't because MicroStrategy is 150% Bitcoin. We do Bitcoin, we're 150% Bitcoin. We're going to be Bitcoin. And the only thing I like more than Bitcoin is more Bitcoin."
Indeed, ethereum is by no means replacing bitcoin as the investment of choice for companies, Sean Farrell, head of digital asset strategy at Fundstrat, told Yahoo Finance. Consider it an adjacent strategy.
"I don't want people to misconstrue this movement from treasury companies to be viewed [as] ETH is replacing bitcoin. It's just blockchain technology applied in a different way for a different use case," Farrell said. "These companies are just capitalizing on the real world asset [tokenization] trends."
Ines Ferre is a Senior Business Reporter for Yahoo Finance. Follow her on X at @ines_ferre.
Click here for in-depth analysis of the latest stock market news and events moving stock prices
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New York Post
4 minutes ago
- New York Post
Trump suggests giving out ‘rebates' from billions in tariff revenue
WASHINGTON — President Trump suggested Friday that some Americans may receive 'rebates' from the federal government after the US Treasury took in $64 billion in tariff revenue in the first three months since his 'Liberation Day' announcement April 2. 'We're thinking about a rebate because we have so much money coming in from tariffs, a little rebate for people of a certain income level,' the president told reporters as he left the White House en route to Scotland for a five-day visit. Trump, 79, didn't detail who might be eligible for the government payment and the White House did not immediately respond to inquiries from The Post. 3 President Donald Trump speaks after disembarking Marine One, as he departs for Scotland, at Joint Base Andrews, Maryland, July 25, 2025. REUTERS Any disbursement from the federal government would require congressional approval. The House is currently out of session until Sept. 2 and the Senate is set to follow suit at the end of next week. During the COVID-19 pandemic, the government issued three rounds of stimulus checks to assist Americans affected by widespread business shutdowns and furloughs. The first payments, of $1,200 to individuals making up to $75,000 and $2,400 to couples making up to $150,000, were issued in March 2020. A second round of payments, of $600 to individuals and $1,200 to couples under those thresholds, was doled out in December 2020. The third and final payment, of up to $1,400 to individuals and $2,800 to couples, was approved as part of the Biden-era American Rescue Plan in March 2021. In all, $814 billion in federal relief money was dispersed across those three handouts. In early 2008, most taxpayers making under $75,000 received $300 per individual ($600 for couples) in an unsuccessful bid to stave off a recession. EJ Antoni, the Heritage Foundation's chief economist, frowned on the possibility of taxpayers getting additional money back, telling The Post: 'While it's always politically advantageous to hand out money to constituents, the fact is the federal government has no money to give at this point. When the annual deficit is over $1 trillion, the priority has to be getting that down, not giving the Treasury another outlay. 3 Scott Bessent has estimated trade revenue could total $300 billion. 3 A container ship is seen leaving the Port Jersey Container Terminal, with the Manhattan skyline in the background, as viewed from Staten Island, New York City, on July 23, 2025. AFP via Getty Images 'The real 'rebate' for the American people will come in the form of less inflation from a reduced federal deficit,' Antoni added. 'That's how you solve the current cost of living crisis.' Trump imposed baseline tariffs of 10% in his 'Liberation Day' announcement and has set an Aug. 1 deadline for countries to agree one-for-one trade deals with the US or risk paying additional duties. While the White House has struck framework deals with the UK, Japan, the Philippines, Indonesia, Australia and Vietnam, and a preliminary deal with China, agreements with major trading partners the European Union, Mexico, Canada, Brazil and South Korea remain elusive. According to US Treasury data released earlier this month, the government has raised $64 billion in customs duties — with Treasury Secretary Scott Bessent and White House trade adviser Peter Navarro forecasting a windfall of $300 billion.
CNBC
6 minutes ago
- CNBC
Tom Lee: This is the most hated V-shaped rally
Fundstrat's Tom Lee, NewEdge Wealth's Cameron Dawson and Wells Fargo's Chris Harvey join 'Closing Bell' to discuss the latest news affecting markets.
Yahoo
6 minutes ago
- Yahoo
Bitcoin Just Flashed a $5 Million Warning--Here's What Traders Are Betting on Next
Bitcoin (BTC-USD) lost momentum on Friday, dropping to $114,762its lowest since July 11as investor appetite for risk assets softened. The pullback followed stronger-than-expected U.S. jobs data, which dented hopes for near-term Fed rate cuts. After hitting a record high of $123,205 earlier this month, fueled by optimism around U.S. regulation and institutional inflows, Bitcoin's rally has taken a breather. Ether traded flat, and XRP slipped roughly 3% in early New York hours. Rachael Lucas, crypto analyst at BTC Markets, noted that while the broader uptrend could still be intact, momentum has cooled and traders are cautious. Warning! GuruFocus has detected 7 Warning Signs with TSN. Some market watchers see the retreat as part of a broader consolidation phase rather than a breakdown. According to FxPro's Alex Kuptsikevich, the correction is healthy and necessary after recent highs. Even if the total crypto market cap falls back to $3.4 trilliondown from the $4 trillion peakit would still likely be viewed as profit-taking, not panic selling. That level remains a key threshold to watch for longer-term trend direction. The jobs data also ended a seven-day Asian equities rally, underscoring just how sensitive risk assets have become to shifting macro signals. Meanwhile, the derivatives market is flashing signs of rising caution. Prime broker FalconX reported a $5 million put option trade on Deribit, betting on Bitcoin falling to $110,000 by August 8. It's a notable hedge that reflects growing two-way risk. We expect to see further consolidation while Bitcoin remains below monthly trendline resistance, currently at around $125,000, said Tony Sycamore of IG Australia. That same level capped Bitcoin's last breakout attemptadding to the technical ceiling traders are watching as the next test of market conviction. This article first appeared on GuruFocus. Sign in to access your portfolio
