{"id":51757,"date":"2025-10-08T15:46:53","date_gmt":"2025-10-08T15:46:53","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=51757"},"modified":"2025-10-08T15:46:53","modified_gmt":"2025-10-08T15:46:53","slug":"tom-lees-bitmine-immersion-newest-target-of-short-seller-kerrisdale-capital","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=51757","title":{"rendered":"Tom Lee’s Bitmine Immersion Newest Target of Short-Seller Kerrisdale Capital"},"content":{"rendered":"
\n

Kerrisdale Capital has taken a short position in BitMine Immersion (BMNR), the ether-focused digital asset treasury firm led by Fundstrat’s Thomas Lee, calling its business model a relic of a bygone crypto era.<\/p>\n

In a detailed report published Wednesday, the well-known short-seller said BitMine\u2019s strategy mirrors that of Strategy (MSTR) \u2014 issuing shares at a premium to buy crypto and grow token-per-share metrics \u2014 but argued that market conditions no longer support that model.<\/p>\n

\u201cBMNR is chasing a model that is on its way to extinction,\u201d Kerrisdale wrote<\/a>. \u201cScarcity and meme-like enthusiasm once kept premiums high despite constant dilution, but those conditions have vanished.\u201d<\/p>\n

Kerrisdale months ago shorted Strategy against a long in bitcoin, noting that company’s premium to net asset value was not sustainable. The trade thus far has proven quite profitable.<\/p>\n

Las Vegas-based Bitmine has undergone a dramatic pivot over the past year, transforming from a niche bitcoin miner into an ether-heavy corporate treasury. With Fundstrat co-founder Thomas Lee as executive chairman, BitMine has raised over $10 billion since July 2025, primarily through at-the-market (ATM) stock sales, and acquired more than 2.8 million ETH.<\/p>\n

The stock \u2014 after rocketing from about $5 to more than $100 on the launch of its ether treasury strategy \u2014 has pulled back to around $58 in its latest trades.<\/p>\n

Kerrisdale said the pace of that stock issuance, roughly $170 million per day, has \u201cturned early enthusiasm into fatigue.\u201d The report criticized BitMine\u2019s latest $365 million equity raise, marketed as a premium deal, as a \u201cdiscounted giveaway\u201d once warrant terms are factored in.<\/p>\n

The firm also took aim at Lee himself, saying his presence lacks the gravitational pull needed to maintain investor confidence. \u201cTom Lee brings name recognition as a strategist and television commentator, but he does not command the kind of cult-like following that turned Michael Saylor into a meme-stock icon,\u201d the report said.<\/p>\n

While Kerrisdale said it remains bullish on ether, it sees no justification for paying a premium through intermediaries like BitMine. \u201cIf you want ETH, just buy it directly,\u201d the firm wrote.<\/p>\n

Adding to the pressure is a flood of new competition. Over 150 U.S.-listed firms are reportedly planning $100 billion in crypto treasury offerings, and a coming wave of Ethereum ETFs is expected to offer lower-cost and more transparent exposure.<\/p>\n

Kerrisdale said BitMine\u2019s disclosures have grown increasingly opaque. ETH-per-share growth has slowed sharply in recent months, even as token holdings rose. \u201cThe reflexive loop that every DAT relies on had begun to stall,\u201d the firm wrote, noting that BitMine\u2019s market premium fell from 2.0x in August to around 1.2x in October.<\/p>\n

\u201cThe strategy is generic, the competition is mushrooming, disclosures have grown opaque, ETH-per-share has slowed,\u201d Kerrisdale concluded. \u201cBMNR\u2019s premium is destined to sink.\u201d<\/p>\n

A representative for Bitmine did not respond to a request for comment. Shares of the company are lower by 2% Wednesday.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Kerrisdale Capital has taken a short position in BitMine Immersion (BMNR), the ether-focused digital asset treasury firm led by Fundstrat’s Thomas Lee, calling its business model a relic of a bygone crypto era. In a detailed report published Wednesday, the well-known short-seller said BitMine\u2019s strategy mirrors that of Strategy (MSTR) \u2014 issuing shares at a […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-51757","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/51757","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=51757"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/51757\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=51757"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=51757"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=51757"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}