Ethereum digital asset treasury (DAT) Bit Digital announced on Wednesday that it had added 31,057 ETH, bringing the digital asset treasury’s total to 150,244 ETH, which is valued at about $675 million.
The company said that it utilized the net proceeds from its recently completed $150 million convertible note offering to fund its latest round of Ethereum purchases. Last month, it proposed a convertible note offering to purchase more ETH. Kraken Financial, Jump Trading Credit, and Jane Street Capital participated in the offering, Bit Digital said Wednesday.
“The structure of our convertible notes allowed us to raise capital at a premium to mNAV, and we have deployed those proceeds directly into ETH,” Bit Digital CEO Sam Tabar said in a statement. “Our guiding principle is to grow NAV per share, with the goal of creating long-term value for shareholders.”
NAV, or net asset value, helps measure how leveraged a DAT is by taking its total crypto assets held, minus liabilities, and then dividing the assets by the company’s shares. An adjusted NAV, or mNAV, takes into account discounts and restrictions on tokens purchased.
“The initial conversion price for the convertible notes of $4.16 per share represents an 8.2% premium to the company’s estimated mNAV at the time of deal pricing,” Bit Digital added.
Tabar told The Block last week that many companies building Ethereum treasuries are using “extremely risky” debt to acquire ETH. He said DATs should consider using unsecured debt financing over secured debt financing as a better hedge against a bearish market.
Founded in 2015, Bit Digital pivoted from a bitcoin mining operator to becoming “a pure-play” Ethereum staking and treasury company in July. At the time, the Nasdaq-listed company, ticker symbol BTBT, sold 280 bitcoin and used $173 million from a recent equity raise to fund the acquisition of Ethereum.
© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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