Tom Lee, chairman of BitMine, appeared on Fortune, warning that the bubble surrounding digital asset treasuries might have already burst.
He didn’t soften his message, describing the construction as one by which firms are actually value lower than the cash they’re presupposed to signify — a state of affairs he calls the clearest sign that “this recreation has began to break down.”
The remarks got here shortly after the crypto market skilled a $19 billion liquidation wipeout in derivatives — the biggest crash on report. The wipeout has left merchants watching to see who will admit losses subsequent, as historical past reveals that after successful like this, information about which funds didn’t survive sometimes comes with a delay. Lee determined to step in earlier than that a part of the story unfolds.
Numbers, numbers, numbers
BitMine Immersion at the moment holds 3,032,188 ETH on its books, value roughly $12,149,678,729, accounting for two.5% of the whole Ethereum provide. This makes it, by far, the biggest company holder of ETH on the earth. The hole between BitMine and different holders is putting: SharpLink holds 838,728 ETH, Coinbase 136,782 ETH, and ETHZilla 102,246 ETH.
When the most important holder declares that the treasury mannequin is damaged, it turns into greater than a warning. With over $12 billion tied up in ETH, Lee has solid a highlight on the rising threat that different companies will quickly have to clarify.
Estimates point out that the mixed weight of Bitcoin and Ethereum company treasuries now exceeds $162.7 billion, underscoring simply how far this balance-sheet experiment has gone.