BTCS intends to raise $100M for strategic ethereum acquisition

BTCS (BTCS) announced its strategic intent to raise $100 million in 2025 to acquire Ethereum. This initiative is part of the Company’s long-term vision to build the leading publicly traded company focused on Ethereum infrastructure while remaining one of the largest holders of ETH among public companies. Subject to market conditions, the Company intends to raise funds to acquire Ethereum on a rolling basis, with a targeted emphasis on maximizing capital efficiency. BTCS plans to adhere to a strict net asset value leverage cap of up to 40% at the time of each financing, covering its combined exposure to convertible debt and Aave borrowings, to ensure a conservative and sustainable balance sheet. The strategy includes: ATM Equity Sales: Opportunistic issuance through the Company’s existing ATM program, designed to access equity markets efficiently and transparently. This would utilize BTCS’s current $250 million shelf registration to the extent it is not restricted by baby shelf limitations. Convertible Debt: Opportunistic use of the previously announced convertible debt arrangement with ATW Partners, which BTCS may utilize upon mutual agreement with ATW, provided it represents the lowest cost of capital. This arrangement, which forms part of BTCS’s broader capital strategy, is designed to provide access to funding while minimizing shareholder dilution. DeFi Borrowing via Aave: Continuing to borrow stablecoins from Aave using ETH as collateral. This structure operates as a perpetual loan, carrying no associated banking or underwriting fees. The current net annual cost of capital remains extremely favorable at around 3%, with no shareholder dilution. This structure can be implemented in minutes, is highly scalable, and provides a flexible mechanism for rapid growth.