Bitcoin Mining Company Expands to Ethereum Reserve, Praises ETH as the ‘Digital Gold’ of Cryptocurrency
BTC Digital, a prominent Bitcoin mining firm, recently made a bold move by transferring $1 million of its company funds into ether (ETH), dubbing it as their new “digital gold.” The decision was announced by the CEO of BTC Digital, Siguang Peng, who highlighted Ethereum’s growing importance in on-chain USD settlement and value transfer.
Peng expressed their proactive approach by securing an initial $1 million ETH reserve, with plans to expand this position in the future. The company aims to leverage Ethereum for decentralized finance, stablecoin issuance, and asset tokenization as the platform evolves and regulatory clarity in the U.S. solidifies.
While BTC Digital has a history in bitcoin mining, they recently achieved a significant milestone with their 20 MW large-scale cryptocurrency mining project in Georgia. Although the company did not confirm if they will continue mining bitcoin, they emphasized their strategic shift from being a “hash-rate provider” to an “on-chain financial infrastructure participant.”
Following the trend, BTC Digital is now the second publicly traded bitcoin miner to move towards an ether treasury, following Bit Digital’s decision earlier this month. Bit Digital’s move resulted in a 30% surge in their stock price, although it later experienced a 20% correction. In contrast, BTC Digital’s stock closed Friday’s trading session with a 13% increase.
Currently, publicly-known ether treasuries, including those of decentralized autonomous organizations (DAOs), Layer-2 networks, and publicly-traded companies, collectively hold more than 1.34 million ETH, according to a public tracker. This demonstrates the growing interest and adoption of Ethereum in the cryptocurrency industry.
