BitMine resumes its share buybacks while increasing its positions in staked ether. Last week, the company bought back 2.04 million shares, while the volume of ETH locked for staking increased
BitMine resumes its share buybacks while increasing its positions in staked ether. Last week, the company bought back 2.04 million shares, while the volume of ETH locked for staking increased after nearly three months of stagnation. However, its ether purchases slow down as it nears its holding target.
Last week, BitMine resumed share buybacks for the first time since mid-August. The company acquired 2.04 million shares at an average price of 22.48 dollars. In total, its buyback program for 2026 now represents 22.9 million shares, for an amount of 399.6 million dollars and an average price of 17.48 dollars. The latest purchase therefore significantly exceeds this annual average.
On October 7, Tom Lee, chairman of the board, had specified that the previous program ended on August 17. Management intends to continue these operations when it considers its stock undervalued, provided the market conditions permit.
Furthermore, the weekly release now mentions buybacks in its note on forward-looking statements, unlike the previous week’s release.
Another notable change: BitMine is again increasing its staked ETH. Since August 9, its weekly reports have consistently shown 5,067,309 ETH. As of October 25, this volume reached 5,227,037 ETH, nearly 160,000 additional ETH.
The company uses its MAVAN validator network as well as external partners. According to Tom Lee, staking generates an annualized income of 318 million dollars. If BitMine locked all its cash in ether, this amount could reach 368 million dollars, based on a 2.58% yield calculated over seven days.
This strategy makes perfect sense as ether ETFs recorded 1.2 billion dollars in outflows in October. Staking thus allows BitMine to earn income from its reserves, even when the market struggles to advance.
BitMine added 10,452 ETH to its treasury last week, compared to 12,535 the previous week. This is its lowest weekly purchase since the week of August 16. With 6,051,933 ETH, the company now holds 4.95% of the 122.2 million ETH in circulation, very close to its 5% target.
At the same time, its cash and marketable securities have declined for the fifth consecutive week, falling from 714 million dollars on September 20 to 514 million.
Tom Lee attributes the crypto market correction to the same pressures affecting artificial intelligence stocks. He points out that ether has lost 13% since its peak, compared to 20% for the SOXX index, and believes that the crypto bull market remains intact.
This trend recalls that of Strategy, which now favors its own shares after suspending its bitcoin purchases. BitMine adopts a similar approach: its share buybacks resume while its ether purchases slow down.
