In a major strategic pivot, blockchain mining company BTC Digital is stepping away from Bitcoin and going all-in on Ethereum. The Nasdaq-listed firm (ticker: BTCT) announced Thursday that it has closed a $6 million funding round and will now prioritize Ether as the centerpiece of its business model.
Calling the move a "transformative, strategic shift," BTC Digital said it plans to convert all current and future Bitcoin holdings into ETH. The company also revealed it has already secured a $1 million position in Ethereum, with the goal of building a large reserve—potentially reaching "tens of millions of dollars" in ETH by the end of the year.
CEO Siguang Peng explained the reasoning behind the shift:
“Ethereum has emerged as the premier platform for decentralized finance, real-world asset tokenization, and scalable smart-contract innovation.”
This marks a fundamental change for BTC Digital, which is transitioning from a traditional crypto mining operation to what it describes as a “production-asset-driven digital asset operator.” The firm is aiming to generate returns through a mix of ETH staking, decentralized finance (DeFi), real-world asset initiatives, and stablecoin infrastructure.
Plans are already in motion to build ETH-backed yield pools, expand into layer-2 scaling solutions, and develop stablecoin tools, all while anchoring growth in the Ethereum ecosystem.
“By centering our digital-asset strategy on Ethereum, BTCT is creating a robust framework for long-term value creation, diversified yield sources, and innovative financial products,” Peng said.
Despite the big announcement, BTCT’s stock saw little movement, closing slightly down on Thursday at $3.44, according to Google Finance.
Meanwhile, Ethereum is enjoying a market upswing. Ether briefly hit a six-month high of $3,600 on Friday, climbing roughly 40% over the past two weeks. Analysts attribute the bullish momentum to renewed interest in crypto treasuries and the expected passage of U.S. legislation supporting stablecoins and decentralized finance.
“Investors are increasingly buying into reserve strategies for Bitcoin and Ethereum,” said Nick Ruck, director of LVRG Research. The shift is also seen as part of a larger trend, with other firms—including SharpLink, BitMine, Bit Digital, and Blockchain Technology Consensus Solutions—recently revealing Ethereum treasury positions totaling over 714,000 ETH, currently valued at around $2.4 billion.
BTC Digital’s Ethereum-centric strategy may position the company at the forefront of the evolving digital asset landscape, as more companies look beyond Bitcoin and toward the broader utility of Ethereum.
