Bit Digital Expands Ethereum Treasury After $150M Convertible Notes Raise

Highlights:

• Bit Digital expands its Ethereum treasury to 150,244 ETH, valued at approximately $675 million.
• The company raised $150 million in convertible notes at a premium to mNAV.
• Bit Digital reported that more than 80% of its ETH is staked, with a yearly yield of 3.37%.

Ethereum digital asset treasury (DAT) Bit Digital has expanded its Ethereum reserves following the completion of a $150 million convertible notes offering. The company purchased 31,057 ETH with the proceeds to raise its total Ethereum holdings to approximately 150,244 tokens. This move bolsters its position as one of the leading institutional Ethereum holders.

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This new acquisition brought Bit Digital’s Ethereum holdings up to roughly $675 million. The firm offered its convertible notes at $4.16 a share with an 8.2% premium to its estimated mark-to-market net asset value (mNAV) of $3.84 a share. Executives said that this premium structure was effective for shareholders because it increased capital above intrinsic value.

CEO Sam Tabar said that the company’s focus remains on creating long-term shareholder value through the discipline of accumulating ETH. He said the acquisition is consistent with Bit Digital’s strategic roadmap and believes that ETH plays a crucial role in the development of digital financial infrastructure.

Bit Digital has purchased an additional ~31,057 Ethereum to increase its total ETH holdings to 150,244.

The future is ETH + AI. pic.twitter.com/BFUa9NvVgj

— Bit Digital, Inc. NASDAQ:BTBT (@BitDigital_BTBT) October 8, 2025

Strengthening Financial and Strategic Foundations

The Ethereum holdings in the balance sheet of Bit Digital are backed by the majority stake in WhiteFiber, which is an AI and high-performance computing company. The company valued its 27 million WhiteFiber shares at $26.74 each as of September 29, which added $723.1 million to its mNAV. Combined with ETH holdings of $512.7 million at a value of $4,229 per coin, the asset value of Bit Digital reached $1.236 billion.

The capital raise of $150 million attracted such key investors as Kraken Financial, Jump Trading Credit, and Jane Street Capital. The involvement of these institutional players underlines the increased confidence in the Ethereum-based model at Bit Digital. The overall allotment exercise for the offering also highlighted the demand from investors in the company’s digital asset strategy.

Meanwhile, the share price of Bit Digital closed on October 7 at $3.74. However, the Ethereum purchase announcement saw shares recover to pre-market at $3.90 on October 8, providing investors with renewed interest.

Ethereum Staking Enhances Treasury Yield

In addition to accumulation, Bit Digital has implemented an active staking strategy in order to maximize returns. According to the September report, its Ethereum holdings, almost 100,000 in quantity, are staked at 81.8%. This distribution produced 291 ETH in incentives, which is a 3.37 yield per year.

Nasdaq-listed Bit Digital, Inc. announced that as of September 30, the company held 122,187 ETH, valued at over $500 million. The total staked ETH amounted to approximately 99,936, representing 81.8% of its total holdings, generating 291 ETH in rewards during the staking period,…

— Wu Blockchain (@WuBlockchain) October 8, 2025

Ethereum market price at the end of September was $4,145.99, which converts the staking rewards to approximately $1.2 million monthly income. That month, the company also bought 653 ETH, bringing its average cost basis to $2,643 per coin. These numbers demonstrate a lucrative status that still yields and grows capital.

Bit Digital integrates stakeholders, validators, and governance in its Ethereum structure. The company employs joint ventures to increase infrastructure and maximize production of yields. Such an on-chain activity and treasury management system make Bit Digital a progressive company in the digital asset industry.

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