Tom Lee: Bitmine's ETH losses are an expected 'feature,' not a 'bug'

Bitmine (BMNR) Chairman Tom Lee has pushed back against claims that the company's over $6.6 billion in unrealized losses from accumulating Ethereum (ETH) will negatively impact the asset's price, stating that such scenarios were anticipated. According to The Block, Lee posted on X that unrealized losses in a bear market are a "feature, not a bug" of the company's accumulation strategy. He explained that a decline in asset value is an expected part of the market cycle and that Bitmine's model is designed to outperform ETH's price gains over an entire cycle. Lee stressed that short-term volatility does not undermine the long-term thesis that "ETH is the future of finance." Bitmine is estimated to hold 4,285,000 ETH at an average price of around $3,883, with an unrealized loss of over $6.6 billion. The company has continued its aggressive strategy by accumulating more ETH and increasing its staking activity during the recent market downturn.