The proposal is formulated as a structural step to maintain flexibility, and not as an immediate plan to issue new shares.
BitMine Immersion Technologies is asking shareholders to approve a massive increase in its authorized shares.
The company’s leadership, led by Chairman Tom Lee, has explained that this strategic move is intended to allow for future stock splits, a necessity they believe will arise as the company’s stock price rises along with its main government bond: Ethereum (ETH).
Shareholder voting focuses on future flexibility
In a series of messages on January 2, Lee spoke directly addressed Investor questions about Proposal 2, which aims to increase BitMine’s authorized common shares from 500 million to 50 billion shares, with a shareholder vote on the measure by January 14.
The crypto entrepreneur was quick to allay concerns that the proposal would mean immediate shareholder dilution. Instead, he outlined three strategic reasons for the change: facilitating selective capital raisings, enabling opportunistic mergers and facilitating future stock splits.
“The last point is crucial,” Lee wrote. “Anytime a company splits shares, the total amount allowed must be high enough to accommodate this.”
This plan is inextricably linked to BitMine’s mid-2025 change of direction to holding Ethereum as its main treasury asset. According to Lee, the company’s stock price now closely follows the price of ETH.
It has been aggressively building its position, with the last purchase of the asset being a $97.6 million splurge on 32,938 ETH on December 31, 2025, bringing its total holdings to around 4.07 million ETH, worth around $12 billion.
The Potential of Ethereum and the Road to Forks
Lee’s view for BitMine is based on a bullish long-term outlook for Ethereum itself. He cited the institutional belief in tokenization, echoing statements from leaders like BlackRock’s Larry Fink, and argued that most of this activity will take place on the Ethereum network.
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He predicts that the world’s second-largest cryptocurrency by market cap could eventually reach prices of $22,000, $62,000 or even $250,000 in a scenario where Bitcoin reaches $1 million.
Using BitMine’s established price correlation with ETH, Lee provided illustrative calculations for where the company’s shares could trade. These scenarios suggest stock prices of $500, $1,500, or $5,000.
To keep the shares accessible to retail investors, the 56-year-old stated that the company would like to split its shares to bring the price to $25. Such splits would dramatically increase the number of shares outstanding, necessitating the proposed increase in the number of authorized shares.
This forward-looking strategy comes at a time when Ethereum is going through a rough patch. Data shows that 2025 was the worst year for ETH since 2018, with nine monthly losses contributing to a 12% annual decline.
The asset is currently trading just above $3,000, showing an increase of 3.5% in the last 24 hours, but still remaining 39% below the all-time high of August 2025. Nevertheless, Lee and BitMine are positioning themselves for a future that they believe will be defined by Ethereum’s role in the financial world, building their coffers during the recession in preparation for an expected recovery.
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