I just saw that a treasury firm took nearly a billion dollars in paper losses this quarter in ETH, but the story is more interesting than it seems. Bitmine went from mining to accumulating ether on a large scale, raising over a billion dollars to gather nearly 4.9 million tokens. The move is aggressive: they doubled their outstanding shares in six months and put everything into ETH at an average of $2,206 per token.

The $3.8 billion loss they reported is just mark-to-market accounting, not actual cash. ETH fell significantly during the quarter but is now around $2,330, so they are technically still in profit over their cost basis. The odd thing is that their operating income is just $11 million while administrative expenses skyrocketed to $75 million in the quarter. Staking completely replaced mining, which collapsed 86% year-over-year.

What catches my attention is that they are also playing with derivatives, reporting unrealized losses on options. The CEO mentioned they see the correction as 'attractive' and accelerated purchases in recent weeks. It seems they are betting heavily that ETH will continue to rise.