Tech billionaire Peter Thiel has made a significant move into the Ethereum ecosystem, acquiring a 9.1% stake in Nasdaq-listed BitMine Immersion Technologies (BMNR). The investment, disclosed in a recent U.S. SEC filing, underscores a growing institutional confidence in Ethereum as a strategic asset, particularly as BitMine pivots to become a major holder of the cryptocurrency.
Thiel, co-founder of PayPal and Palantir, made the investment through his Founders Fund Growth II Management. His entities now control approximately 5.09 million shares of BitMine.
Under the leadership of CEO Jonathan Bates and newly appointed chairman Tom Lee, BitMine has undergone a notable strategic shift. The company, which previously focused on Bitcoin mining, now boasts an impressive treasury of over 163,000 ETH, currently valued at approximately $500 million. This positions BitMine as one of the largest public companies holding Ethereum.
Tom Lee, co-founder of Fundstrat Global Advisors, has been a vocal proponent of Ethereum, highlighting its critical role in decentralized finance (DeFi), stablecoins, and smart contract applications. He recently suggested that Ethereum is “on the brink of a major breakout,” fueled by increasing adoption in real-world payment systems and staking protocols.
Thiel’s involvement comes as part of a $250 million private placement that closed on July 9. The funding round also attracted other heavyweight crypto investors, including Pantera Capital, Galaxy Digital, and Kraken, signaling strong industry support for BitMine’s new strategic direction.
The SEC filing clarifies that Thiel’s investment is passive, with no current plans to influence the company’s control. All voting and dispositive powers are shared among the Delaware-registered entities involved in the purchase.
However, Thiel’s backing carries significant symbolic weight. Known for identifying and investing early in transformative technologies like Facebook and SpaceX, his support for BitMine underscores Ethereum’s perceived potential. His investment also aligns him with Lee’s vision of Ethereum as foundational digital infrastructure for the evolving financial landscape.
This move by Thiel follows his recent participation in a consortium of tech billionaires backing Erebor, a new U.S. bank aiming to provide more reliable capital access for startups and crypto firms in the wake of Silicon Valley Bank’s collapse.
