BTC Digital, an American company listed on Nasdaq (BTCT), announced a radical change in strategy: abandoning Bitcoin mining in favor of Ethereum staking ($ETH ). This move reflects the trend of crypto companies transitioning to more energy-efficient models, such as proof-of-stake (PoS). The company has already invested $1 million in Ethereum reserves and plans to convert all its Bitcoins to ETH to develop staking, DeFi, and stablecoin infrastructure. CEO Siquan Peng called Ethereum the "leading platform" for decentralized finance and asset tokenization.
The decision is driven by the decline in Bitcoin mining profitability after the 2024 halving, which halved miners' rewards, and high costs for energy and equipment. In contrast, Ethereum staking offers stable income (4–6.5% per annum) with minimal expenses. BTC Digital also raised $6 million in funding to expand ETH reserves to tens of millions of dollars by the end of 2025. This transition makes the company part of a growing trend where firms choose Ethereum for its flexibility and potential in DeFi.
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