BIT Mining, a NYSE-listed company, announced the establishment of a Solana-based treasury with potential investments of $300 million.
Shift to SOL and Treasury Scale
BIT Mining, registered in an offshore territory, stated its intention to be one of the first companies to implement a treasury strategy for SOL. The company plans to raise up to $300M depending on market conditions. Currently, BIT Mining is ranked 102 based on a treasury of just 19 BTC, acquired at a price of $77,526. The company also holds 1,246 ETH, 7.6M DOGE, 900K USDT, and 1,770 LTC, all acquired during mining activities.
Strategy Change Post-Controversy
BIT Mining recently rebranded from its previous casino business known as 500.com. The company was fined $10M in connection with a failed bribery scheme in Japan to secure a casino license. The fine was reduced from $54M due to a lack of funds. However, the shift towards treasury management provides new opportunities in the crypto sector.
Impact on BIT Mining Shares
The announcement of the Solana treasury led to BIT Mining shares reaching their highest level in the past 12 months, surpassing $5.80. Nonetheless, the stock has dropped over 98% since it was first listed in 2015. The uncertainty surrounding its plan to acquire SOL also raises questions about the sustainability of this stock price increase.
The announcement of the SOL treasury presents BIT Mining with new opportunities in the crypto industry, despite past errors and challenges.
