Bit Digital has exited the Bitcoin mining business and moved its entire treasury strategy to Ethereum (ETH), which its CEO says better captures real on-chain economic value and staking yield. The company confirmed it sold its remaining 417 Bitcoin (BTC) and used the proceeds, plus new capital, to accumulate about 100,000 ETH.
According to Bit Digital’s CEO, the firm raised about $172 million in fresh capital. The funds went directly into buying Ethereum. The move means Bit Digital no longer earns revenue from Bitcoin block rewards. Instead, it relies on staking Ethereum and holding it as a corporate reserve.
Bit Digital CEO Calls Ethereum ‘Living Asset’ That Earns While Bitcoin Sits Idle
According to the CEO, Ethereum represents the next corporate treasury wave because it captures real economic throughput. Unlike Bitcoin, which only generates transaction fees for miners, Ethereum’s fees flow back to stakers. This argument holds up when comparing chain metrics: daily chain fees on Ethereum average about $964,000 compared to Bitcoin’s $485,000.
DefiLlama data shows Ethereum’s total value locked (TVL) in DeFi at around $66.08 billion, about 10 times higher than Bitcoin’s $6.37 billion. This indicates more on-chain activity that generates real yield for ETH holders.
Additionally, Ethereum consistently attracts higher development activity than Bitcoin. The number of active contributors and commits on Ethereum has grown steadily since 2018. In contrast, Bitcoin’s developer community remains smaller and more conservative.
Bit Digital’s CEO pointed to this as proof that Ethereum evolves with technology. The argument is that an asset backed by an expanding ecosystem offers more future utility than a static store of value.
Why the CEO Calls Ethereum a Corporate Reserve Like Gold
Bit Digital’s leadership described Ethereum as a strategic corporate asset. They compared it to gold and treasury bonds but claimed Ethereum is more dynamic. They argued that ETH adapts with technological innovation while offering staking rewards of around 3% annually.
Unlike Bitcoin, which relies only on price appreciation, staked ETH produces additional income. The CEO personally invested his own savings in the capital raise that funded the ETH purchases.
A key reason for the pivot is the belief that Ethereum will host trillions in tokenized assets. The CEO pointed to Robinhood’s plan to tokenize equities using Arbitrum, a Layer-2 built on Ethereum. He said this confirms that traditional finance is adopting Ethereum rails for new products.
Tokenization of real-world assets passed $24 billion on-chain by mid-2025. Ethereum still hosts the majority of tokenized stablecoins and pilot tokenized securities.
The CEO also claimed the U.S. crypto regulation is shifting. He said the departure of SEC Chair Gary Gensler opened the door for clearer legislation. He referenced the so-called “GENIUS Act” and “Clarity Act,” which he claimed would formally classify ETH as a commodity.
At press time, Congress.gov does not show either bill as law. However, the Lummis-Gillibrand Responsible Financial Innovation Act and the FIT21 Bill are under active debate. Both aim to clarify which crypto assets are treated as commodities.
ETFs Can’t Stake — Bit Digital Offers Yield
Bit Digital argued that Ethereum ETFs only provide passive price exposure. They do not stake ETH and pass yield to investors. By holding ETH directly, Bit Digital can stake its entire position. It claims current staking returns average about 3% a year. When compounded, this could add to total treasury value.
The CEO said this yield advantage makes Bit Digital more attractive than holding a standard Ethereum ETF. However, staking rewards depend on validator performance and can change based on network activity.