Categories: Bitcoin Latest News

Crypto Miner Bit Digital Up 26% After Swapping Bitcoin for Ether

Bit Digital (BTBT) is now the owner of more than 100,000 ether (ETH) after swapping out its bitcoin stack along with a $172 million capital raise for even more of the world’s second-largest crypto.

From a holding of 24,434 ETH as of the end of March, Bit Digital now has approximately 100,603 ETH ($189.2 million) making it one of the largest corporate ETH holders, the company said on Monday.

Bit Digital revealed its plans to focus solely on ETH staking last month, in a move that wasn’t entirely unexpected given the more challenging environment bitcoin miners have experienced since last year’s halving.

Ether staking is the process of locking up ETH to help secure the network in return for rewards. Stakers validate transactions and create new blocks to earn a passive income.

The quadrennial halving event sees the reward for adding new blocks Bitcoin network reduced by 50%, taking a considerable bite out of miners’ revenue stream, notwithstanding a rally in BTC’s price.

BTBT shares were higher by 26% on Monday to $3.71. They were trading at around $2 shortly after the late June announcement of the ether focus.

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