BitMine Chairman Urges Shareholders to Approve 100x Stock Authorization Increase

not_your_keys · 2026-01-03T01:23:07+00:00

BitMine Chairman Tom Lee urges shareholders to approve a 100-fold increase in authorized common stock at the upcoming meeting, aiming to address capital market activities and future stock split needs. The proposal has raised concerns among shareholders about dilution, but it does not mean that new shares will be issued immediately. Shareholders need to vote before January 14.

not_your_keys

2026-01-03 01:23:07

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Source: Yellow Original Title: The President of BitMine, Tom Lee, Urges Shareholders to Approve 100-Fold Stock Increase

Original Link: BitMine Immersion Technologies Chairman Tom Lee urges shareholders to approve a 100-fold increase in authorized shares before the company’s next annual general meeting.

The Ethereum (ETH) financial company’s board of directors unanimously approved a charter amendment on December 8, proposing to increase authorized common shares from 500 million to 50 billion.

BitMine’s stock rose about 11% on January 2, after Lee issued a public statement in response to shareholder concerns.

The annual meeting is scheduled for January 15 in Las Vegas, Nevada.

What happened

Lee clarified that the proposal does not mean BitMine will immediately issue 50 billion shares.

“This does not mean we will issue 50 billion shares. This is the maximum total authorized shares we hope for,” Lee said.

The chairman listed three reasons for the authorized increase:

First, it allows for capital market activities, including “at-market” issuance, convertible bonds, and warrants.

Second, it provides flexibility for opportunistic operations, including potential mergers or acquisitions.

Third, as its stock price follows Ethereum’s trend, it allows the company to implement future stock splits.

BitMine shifted its focus in July 2025 to make Ethereum its primary financial asset.

The company currently holds about 4.11 million ETH tokens.

Shareholders must vote by 11:59 PM Eastern Time on January 14.

Why it matters

The authorized increase addresses a practical limitation: BitMine cannot perform stock splits without first expanding the authorized share limit.

Lee advocates that the company’s stock price follows Ethereum’s trend, and based on a coefficient calculated by Bloomberg, if ETH appreciates significantly, a split would be necessary to maintain stock “availability.”

While Lee has assured that shares will not be issued immediately, the proposal has raised concerns among shareholders about dilution.

Since adopting its Ethereum-based financial strategy on June 30, BitMine’s stock has risen 86%.

More authorized shares do not automatically mean issuing new shares, but they simplify future financing rounds and stock-based transactions.

BitMine’s institutional investors include ARK Invest, Founders Fund, Pantera, and Galaxy Digital.

ETH2.47%

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BridgeNomad

· 6h ago

100x share authorization? ngl that's giving major dilution vibes... seen this movie before with other projects. the trust assumptions here are sketchy af, especially with zero transparency on actual deployment mechanics. feels like classic counter-party risk wrapped in corporate language tbh

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