BitMine Reports $6.3 Billion Loss Due to Ethereum Decline

BitMine Immersion Technologies reported a net loss of $6.31 billion for the fiscal year ending August 31, 2026. According to the 10-K form filed with the SEC on November 10, $6.23 billion was attributed to unrealized depreciation of digital assets, primarily Ethereum. These losses are reflected in the market valuation of cryptocurrencies and do not mean that the company sold ETH for that amount.

Why BitMine incurred a billion-dollar loss

During the reporting year, the price of ETH on Coinbase fluctuated from $1,506 to $4,763, significantly affecting the value of the company's reserves. As of August 31, BitMine held 5.90 million ETH valued at approximately $14.56 billion and 211 BTC. Meanwhile, the revenue for the year reached $124.8 million, including $121.4 million from staking and validation, while operating activities required $305.1 million in cash. The previous year, the company reported a net profit of $348.6 million.

How Ethereum reserves have changed

In a statement on November 9, BitMine disclosed more recent data: as of November 8, its reserves increased to 6.07 million ETH, or 4.97% of the cryptocurrency's supply, and its BTC holdings rose to 216 coins. The total value of crypto assets, cash, securities, and specific investments was estimated at $14.3 billion. This amount included $475 million in cash and marketable securities, as well as stakes in Beast Industries and Eightco. These figures pertain to November and should not be confused with the balance at the end of August.

What risks remain for the company

BitMine continues to accumulate ETH, so its results are heavily dependent on cryptocurrency price fluctuations. Further price declines will increase the likelihood of new negative revaluations, although income from staking may partially support operational activities. The report itself warns of high volatility in financial results and the value of equity. The report does not suggest that Ethereum has lost its ability to retain value in the long term.