BTC Mining Company Expands to Ethereum Reserve, Declaring ETH the New ‘Digital Gold
BTC Digital, a Bitcoin mining firm, recently made a bold move by transferring $1 million of its company cash into ether (ETH), dubbing it the new “digital gold.” The company’s CEO, Siguang Peng, explained that Ethereum has become the cornerstone of on-chain USD settlement and value transfer. This decision to secure an initial $1 million ETH reserve is part of BTCT’s strategy to position itself for decentralized finance, stablecoin issuance, and asset tokenization.
With plans to further scale this position, BTCT is preparing for the future as upgrades increase capacity and U.S. regulations around cryptocurrencies become clearer. While BTC Digital was previously focused on Bitcoin mining, the company recently announced a major milestone in its 20 MW large-scale cryptocurrency mining project in Georgia. While it’s unclear if BTCT will continue to mine Bitcoin, the firm is transitioning from being a “hash-rate provider” to becoming an active participant in on-chain financial infrastructure.
Following in the footsteps of Bit Digital (BTBT), which recently shifted its entire treasury from Bitcoin to Ethereum, BTCT is the second publicly traded Bitcoin miner to make this move. Bit Digital’s stock saw a significant increase of up to 30% after the shift, although it has since experienced a correction with nearly a 20% drop. On the other hand, BTCT’s stock closed Friday’s trading session 13% higher, indicating positive investor sentiment.
Currently, publicly-known ether treasuries, including those held by decentralized autonomous organizations (DAOs), Layer-2 networks, and publicly-traded companies, collectively hold over 1.34 million ETH, according to public data. This trend towards diversifying treasuries into ETH reflects a growing interest in the potential of Ethereum and its role in the future of decentralized finance and blockchain technology.
