Bitmine has filed with the U.S. Securities and Exchange Commission to sell 3 million shares of Series A perpetual preferred stock, offering a 9.5% annual cumulative dividend based on a $100 liquidation preference per share. The company has applied to list the shares on the New York Stock Exchange under the ticker BMNP, with trading expected to start within 30 days of the initial issuance, subject to approval.
Dividend terms and structure
According to the SEC filing, dividends on the Series A preferred will be paid weekly in arrears. Any unpaid amounts will accrue and compound at an initial rate of 9.55% annually.
The dividend rate will increase by 5 basis points each pay period until it reaches a cap of 15%. Once declared by the board, dividends will be paid in cash. Because the shares are perpetual, they have no maturity date, functioning as a fixed income–style instrument tied to the company’s credit profile rather than its common stock price.
Use of proceeds and deal managers
Moelis & Company and Cantor are acting as joint lead bookrunners on the offering.
Bitmine said it intends to use the net proceeds for general corporate purposes, which may include buying additional ether and expanding its Ethereum staking operations. That means the capital raised through a fixed dividend security may be redeployed into higher-volatility digital assets on the company’s balance sheet.
Echoes of Strategy’s 2025 preferred stock model
Bitmine’s move follows a preferred stock structure popularized in 2025 by digital asset firm Strategy. Strategy’s STRC preferred securities carry an 11.5% dividend rate.
Since Strategy raised about $2.52 billion in its July 2025 STRC offering, the notional value of its outstanding STRC preferred stock has grown to roughly $10.5 billion, underscoring ongoing demand for high-yield, exchange-listed preferreds tied to crypto-related businesses.
Growing Ethereum exposure despite heavy unrealized losses
Bitmine has been expanding its Ethereum holdings even as prices have fallen. On June 1, the company reported purchasing another 26,497 ether, bringing its total Ethereum balance to 5,416,901 ETH.
Data from Dropstab estimate Bitmine’s unrealized losses at about $9.2 billion as Ethereum’s price slide deepens. Ether traded at $1,774 as of 9:50 p.m. ET Wednesday, down 4.16% over the prior 24 hours and 32% lower compared with a year earlier.
Market reaction and risk profile
Shares of Bitmine closed Wednesday at $16.90, down 5.95% on the day.
The preferred stock deal offers the company a way to raise capital without immediately diluting common equity, while committing to a sizable cash dividend stream. The structure effectively layers debt-like obligations on top of a balance sheet that is increasingly concentrated in Ethereum, an asset currently under pressure.
For traders in the sector, the launch and early trading of BMNP will serve as a live test of market confidence in Bitmine’s ability to both service a rising dividend and manage its expanding digital asset portfolio through a volatile cycle.
Curious how Ethereum dynamics shape Bitmine’s strategy? Explore on-chain insights with deep Ethereum fundamentals today.
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