The transition gained traction earlier this month when Bit Digital sold 280 BTC for around $172 million and used the funds to acquire over 100,000 ETH. A second purchase added nearly 20,000 more, pushing the firm’s ETH stash above 120,000—placing it among the largest publicly known Ethereum holders.

Rather than keeping quiet, Bit Digital shared its reasoning publicly. In a post on X, the company pointed to global financial instability, inflation concerns, and a growing distrust in fiat systems as key reasons for betting on Ethereum. It also emphasized ETH’s built-in staking yield as a critical advantage over Bitcoin’s store-of-value-only appeal.

To support this new direction, Bit Digital is now asking shareholders to approve a major increase in its authorized share capital—from 340 million to 1 billion shares—per a July 25 SEC filing. If approved, the firm would boost its available capital from $3.5 million to $10.1 million. The vote is set for September 10 and is expected to fund further ETH acquisitions.

Ethereum’s rally since July has only added fuel to the strategy. ETH has surged 51% in the past month, outperforming Bitcoin, while ETH/BTC has climbed 35%. This strength aligns with a flood of capital into Ethereum ETFs, which have seen 16 consecutive days of positive net flows, totaling $7.5–$8 billion, according to data from Sentora.

With ETH trading near yearly highs at $3,775, Bit Digital’s pivot appears well-timed—positioning it to ride Ethereum’s growing dominance in both retail and institutional markets.

The post Ethereum Replaces Bitcoin in $172M Strategic Shift by Bit Digital appeared first on Coindoo.

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Filed under: Bitcoin - @ July 28, 2025 1:16 am