Tom Lee, chairman of BitMine Immersion Technologies (BMNR), has asked shareholders to approve a proposal that would dramatically expand the company’s authorized share count to 50 billion, up from its current limit of 500 million.
Key Takeaways:
- Tom Lee wants BitMine to raise its authorized share limit to 50 billion to enable future stock splits as its valuation tracks Ethereum.
- BitMine shares jumped 14% after the proposal, reflecting investor support for keeping the stock affordable.
- The plan has split investors, with some voicing dilution concerns.
In a video posted to YouTube on Friday, Lee described the move as a structural adjustment rather than an immediate issuance.
“That doesn’t mean we’re issuing 50 billion shares,” he said, stressing that the proposal would simply raise the maximum number of shares the company is allowed to authorize.
BitMine Shares Jump 14% as Tom Lee Flags Stock Split Risk Tied to Ether
Investors appeared receptive, with BitMine shares climbing about 14% on Friday to trade near $30.93 by mid-afternoon in New York.
Lee framed the proposal primarily as a way to prepare for future stock splits as BitMine’s valuation tracks the price of Ethereum.
According to Lee, the company’s share price closely mirrors ether’s performance, creating the risk that BMNR could become prohibitively expensive for retail investors if ETH rallies sharply.
“If ETH rises to $22,000, our stock could be around $500,” Lee said. Under more aggressive assumptions, including a scenario where Bitcoin climbs to $1 million and ETH reaches $250,000, Lee estimates BitMine’s shares could carry an implied price near $5,000.
“Most people want shares to stay around $25,” he said, arguing that high nominal prices can deter participation regardless of fundamentals.
BitMine has repositioned itself as the largest Ethereum-focused digital asset treasury, holding roughly 3.41% of ETH’s circulating supply.
The company disclosed last week that it added another 44,463 ETH, bringing total holdings to more than 4.11 million ether.
While BitMine still maintains some Bitcoin-related operations, its core strategy shifted in 2025 toward accumulating and staking ETH to generate yield.
Lee said that if ether were to reach $250,000, BitMine would likely need to execute a 100-for-1 stock split to maintain a share price near $25.
That scenario would require tens of billions of authorized shares, which the current structure does not allow. “We’re trying to get ahead of that,” he said.
BitMine Share Expansion Plan Divides Investors Over Dilution Risk
Not all investors are convinced. Reaction on social media has been mixed, with critics arguing that raising the authorized share limit could pave the way for dilution.
Supporters counter that authorized shares are not the same as issued shares and that the proposal simply gives management flexibility as the company’s crypto-linked valuation evolves.
Shareholders have until Jan. 14 to vote on the proposal.
As reported, BitMine plans to switch on its Made in America Validator Network in early 2026, aiming to earn staking yield from a $12 billion ETH hoard.
Last week, the company said it now holds 4,110,525 Ether, a stash it values at about $12 billion, making it the largest publicly-disclosed Ethereum treasury and placing it among the biggest crypto balance sheets in the market.
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