BitMine Immersion Technologies (NYSE: BMNR) filed a preliminary prospectus with the SEC on Wednesday to raise up to $300 million through a new class of preferred stock carrying a 9.5% cumulative annual dividend paid weekly in cash.

The structure mirrors the preferred-dividend instrument Strategy pioneered for Bitcoin, applied this time to a corporate Ethereum treasury that now holds 4.5% of the coin’s circulating supply.

The prospectus supplement, filed June 3 under accession number 0001493152-26-027136 on the SEC’s EDGAR system, covers up to 3 million shares of Series A Perpetual Preferred Stock at a $100 stated value per share. The shares are expected to list on the New York Stock Exchange under the ticker BMNP within 30 days of first issuance. Moelis & Company and Cantor are joint lead bookrunners.

The BMNP Instrument

The preferred stock is non-convertible. It does not give holders equity in the company. The 9.5% annual dividend obligation accrues on a $100 face value and compounds if unpaid. Dividends carry a default penalty of the regular rate plus 5 basis points per week, capped at 15%.

BitMine can call the shares at 110% of stated value in the first 18 months, at 105% between 18 months and three years, and at par thereafter. Holders receive repurchase rights if certain fundamental corporate changes occur.

Strategy’s comparable instrument, STRC, carries an 11.5% annual dividend and has raised roughly $10.5 billion since its July 2025 IPO. Strive and Metaplanet have issued similar structures. BitMine, led by Fundstrat co-founder Tom Lee, is now applying the same capital-markets template to the Ethereum side of the corporate-treasury trade.

BitMine’s ETH Holdings and the Paper-Loss Figure

BitMine holds 5,416,901 ETH, the largest corporate Ethereum position tracked by CoinGecko. At the current price of roughly $1,773, those tokens are worth approximately $9.6 billion, accounting for about 4.5% of Ethereum’s circulating supply of 120.7 million coins.

The company’s total invested cost in ETH stands at $18.83 billion, per the prospectus. That puts the unrealized loss at approximately $9.2 billion, according to the prospectus. ETH hit an all-time high of $4,946 in August 2025 and has since declined about 64%.

BitMine’s treasury also includes 203 BTC, a $200 million stake in Beast Industries, a $97 million stake in Eightco Holdings (Nasdaq: ORBS), and $446 million in cash, bringing total treasury assets to roughly $12.3 billion as of May 26, per the company’s June 2 investor presentation filed as an 8-K.

MAVAN Yield vs. Dividend Obligation

A 9.5% annual dividend on $300 million equals roughly $28.5 million per year. BitMine says it intends to fund that obligation primarily through staking yields from its MAVAN validator platform, which manages the bulk of its ETH holdings.

The prospectus does not specify MAVAN’s current yield rate. Ethereum staking yields on the network currently run below the 9.5% BMNP dividend rate, which means BitMine may need price appreciation or additional staking scale to fully cover the obligation without drawing on cash reserves.

That gap between actual staking yield and the committed dividend is the key structural tension the BMNP offering presents to prospective investors.

Schiff’s Critique

Peter Schiff, the gold advocate and longtime crypto critic, argued on X that raising capital at a 9.5% yield obligation to purchase more Ethereum is unlikely to succeed given the asset’s steep price decline.

Schiff has applied a similar critique to Strategy’s STRC instrument, warning of a potential death-spiral dynamic in which declining asset prices force issuers to offer progressively higher yields to attract investors, compounding the cost burden on an already loss-heavy treasury.

BMNR Common Stock and the Capital-Structure Logic

BMNR common stock has fallen roughly 50% from recent highs. That makes equity-based capital raises expensive in dilution terms. The preferred structure addresses that: BitMine takes in dollar-denominated capital at a fixed yield rate, without issuing common shares.

Strategy’s STRC program demonstrated how this structure can generate capital at scale even against a volatile underlying asset — it raised $10.5 billion over roughly 10 months. Whether the same logic holds for Ethereum, which carries different staking-yield economics, a deeper recent price decline, and a $9.2 billion hole in invested cost, is the question the BMNP offering puts to the market.

The prospectus does not specify a closing date for the offering.