Tom Lee Urges BitMine Vote To Lift Authorized Shares To 50 Billion Level

TLDR

Table of Contents

BitMine plans to raise authorized shares to 50B from 50M without immediate issuance.
Tom Lee links the proposal to potential stock splits if Ether prices surge.
The company currently has about 426M shares outstanding.
Some investors criticized the plan on X, citing dilution concerns.

Tom Lee has asked BitMine shareholders to support a major corporate change that could reshape the company’s capital structure. The proposal seeks to lift BitMine’s authorized share count from 50 million to 50 billion. Lee says the move is tied to future valuation scenarios driven by Ether prices and the need to keep the stock accessible to a wide investor base.

Chairman Outlines Rationale Behind Share Expansion

Tom Lee, chairman of BitMine, presented the proposal as a preparatory step rather than an immediate issuance plan. He said the company wants flexibility if its valuation rises sharply alongside Ether. Lee explained that authorized shares set a maximum ceiling, not the number of shares issued.

He told shareholders that BitMine’s stock price tends to track Ether movements closely. Because of this link, he modeled scenarios using the ETH to Bitcoin ratio. Under one scenario, Ether could reach $250,000 if Bitcoin climbs to $1 million. Lee said such price levels would push BitMine’s share price far beyond what many retail investors can afford.

Stock Splits and Unit Bias Explained

Lee said a sharp rise in Ether would likely require stock splits to keep BitMine’s shares near a $25 target. He noted that investors often prefer lower share prices even when value stays unchanged. This behavior is known as unit bias, where the number of shares feels more important than overall return.

According to Lee, a 100:1 stock split could be needed if Ether hits his modeled levels. That split would expand outstanding shares to about 43 billion. BitMine currently has roughly 426 million shares outstanding. Lee said raising the authorized limit now avoids repeated shareholder votes later.

Capital Flexibility as a Secondary Goal

Lee also pointed to capital planning as another reason for the proposal. Having a higher authorized share count allows the company to raise funds quickly if needed. He said this flexibility could matter as BitMine expands its digital asset strategy.

BitMine shifted in 2025 from a Bitcoin mining and holding focus to an Ether treasury approach. The firm still retains some Bitcoin operations, but Ether now plays a central role. Lee said the company wants tools in place to support growth without delays tied to corporate approvals.

Market Reaction and Shareholder Concerns

Reaction on social media platform X was largely negative. Several users said the proposal looked dilutive, even if no immediate issuance was planned. One user wrote, “This looks fishy and ridiculous to authorize a higher share count because the stock might go to $500.”

Lee responded that authorization does not equal dilution. He said, “That doesn’t mean we’re issuing 50 billion shares. That’s what we want the total maximum shares to be.” He stressed that any actual issuance would still depend on future decisions and market conditions.

The proposal now awaits shareholder consideration. The outcome will determine whether BitMine gains the expanded share capacity Lee believes is needed to manage future valuation changes tied to Ether and Bitcoin price movements.