Nasdaq-listed BTCS buys ETH for $8.4 million
BTCS boosts ETH holdings to 12,500 worth $31.8M
Blockchain infrastructure firm BTCS has significantly expanded its Ethereum holdings, purchasing 3,450 ETH for $8.42 million at an average price of $2,441 per token.
The Nasdaq-listed company now holds a total of 12,500 ETH—approximately $31.8 million at current prices, reports The Block.
CEO Charles Allen said the acquisition strengthens BTCS’s validator operations and staking capabilities, calling Ethereum a “foundational asset” in the company’s blockchain strategy.
“By expanding our ETH position, we are strengthening the foundation that allows us to scale validator operations, grow staking revenue, and drive long-term value for shareholders,” Allen noted in the announcement.
Convertible notes fund Ethereum accumulation
The ETH purchase was funded in part by a previously announced $57.8 million convertible note facility secured through investment firm ATW Partners. According to Allen, BTCS aims to mirror the aggressive crypto treasury strategy of firms like Michael Saylor’s Strategy (formerly MicroStrategy), but with a focus on Ethereum rather than Bitcoin.
BTCS views Ethereum as being at a “critical inflection point,” especially following recent technical upgrades and renewed institutional interest. The company plans to use its growing ETH reserves to increase validator node coverage and further enhance staking income streams.
ETH rallies after Pectra upgrade, BTCS stock surges
The purchase comes amid a sharp rally in ETH’s price following the successful Pectra upgrade, which improved scalability and network efficiency. Ethereum has gained 53% over the past month, currently trading at $2,532.
BTCS, which also runs validator nodes on Binance Chain and operates an onchain analytics platform, saw its stock price climb 13.5% on Tuesday to close at $2.68. It rose another 8.58% in after-hours trading, reaching $2.91, according to Google Finance data.
With Ethereum’s network and token gaining momentum, BTCS is positioning itself as one of the few publicly traded firms with a sizable ETH treasury and a dedicated staking business model.
Recently we wrote that Indonesian fintech firm DigiAsia (Nasdaq: FAAS) surged 91% to close at $0.36 on May 19 after revealing plans to adopt Bitcoin as a treasury reserve asset.
