Overview

• The short seller’s thesis targets BitMine’s issuance-for-crypto model, citing slowed ETH-per-share growth and a premium that compressed from roughly 2.0x in August to about 1.2x by October.
• BitMine has raised more than $10 billion since July primarily through at-the-market stock sales and now holds about 2.83 million ETH, according to recent disclosures.
• Kerrisdale estimates share sales averaged roughly $170 million per day and labeled a recent $365 million deal a discounted giveaway once attached warrants are considered.
• BMNR initially fell more than 5% after the report, then recovered to close up 1.35% at $60 on Wednesday’s session.
• The report flags rising competition from planned crypto treasury issuers and expected Ethereum ETFs, and it argues investors seeking exposure should buy ETH directly rather than pay a stock premium.