Key facts
- Strategy faces an estimated $7.25B-$7.6B unrealized loss on its Bitcoin holdings.
- Bitmine faces an estimated $8.74B-$8.9B unrealized loss on its Ether holdings.
Strategy and Bitmine are facing a combined paper loss exceeding $16 billion on their Bitcoin and Ether holdings, respectively. Strategy's Bitcoin position shows an unrealized loss of $7.25B-$7.6B, while Bitmine's Ether holdings are down $8.74B-$8.9B. These losses remain unrealized as assets have not been sold.
The substantial paper losses highlight the volatility of corporate crypto treasury strategies and the potential financial risks associated with holding large digital asset positions, especially when market prices fall below acquisition costs.
Strategy and Bitmine are reportedly facing a combined paper loss exceeding $16 billion due to recent declines in Bitcoin and Ether prices. Calculations suggest Strategy holds 843,706 BTC with an average cost of $75,699, resulting in an unrealized loss estimated between $7.25 billion and $7.6 billion. Concurrently, Bitmine's Ether holdings of 5,416,901 ETH, acquired at an average cost of $3,485, show an unrealized loss of approximately $8.74 billion to $8.9 billion. These figures place both entities under renewed scrutiny regarding their crypto treasury strategies, particularly concerning balance sheet resilience and financing terms. The losses remain unrealized as neither company has reported selling its assets.