BitMine Stays a Top Pick in Korea Despite a Brutal 80% Drop

Source: CryptoTale Original Title: BitMine Stays a Top Pick in Korea Despite a Brutal 80% Drop Original Link: https://cryptotale.org/bitmine-stays-a-top-pick-in-korea-despite-a-brutal-80-drop/ South Korean retail investors continued to buy shares of BitMine Immersion Technologies Inc. in 2025, despite the stock’s decline of more than 80% from its July peak. The U.S.-listed firm finished the year as one of the most popular overseas stocks among Korean traders.

Data from the Korea Securities Depository placed BitMine second only to Alphabet Inc. among foreign securities favored by South Korean investors. The buying persisted despite sharp losses and extreme volatility through the second half of the year.

The surge reflected South Korea’s strong appetite for high-risk assets in the retail sector. Local traders, often called “ants,” frequently target volatile overseas equities linked to crypto markets. BitMine emerged as a focal point once it repositioned itself around Ether accumulation.

The company gained added visibility through backing from billionaire Peter Thiel and leadership by Wall Street forecaster Tom Lee. Those links helped place the stock on the radar of Korean traders seeking crypto exposure through U.S. markets.

Ether Pivot Turns BitMine Into a Retail Magnet

Interest accelerated after BitMine shifted its business model from Bitcoin mining to hoarding Ether. That move aligned the company with Ethereum, the second-largest cryptocurrency by market value. Following the announcement, BitMine shares surged more than 3,000% by July 3.

Before the pivot, the company drew little attention from South Korean investors. Once BitMine branded itself as an Ether accumulator, retail demand rose sharply. By late July, BitMine became the most purchased foreign equity in South Korea.

Industry analysts cited structural factors behind the demand. South Korea hosts some of the world’s most active crypto trading volumes. At the same time, regulatory barriers complicate direct crypto investment for some investors.

Buying a NASDAQ-listed stock like BitMine offered a compliant equity route with crypto-linked exposure. The firm’s focus on Ether also appealed to investors seeking assets tied to blockchain utility rather than short-term trading alone.

Heavy Buying Continues After a Sharp Collapse

After peaking in July, BitMine shares dropped abruptly the following month. The stock later declined by roughly 82% from its high. Despite the collapse, South Korean retail investors continued to add positions.

Korean traders allocated a net $1.4 billion into BitMine shares during 2025. Flows also moved into leveraged products tied to the stock. One example included the T-Rex 2X Long BitMine Daily Target ETF, which later fell about 86% from its peak.

BitMine’s strategy rested on long-term confidence in Ether’s value and on-chain activity.

The company reportedly holds more than four million Ether. That level ranks it among the largest public holders of the token.

BitMine now controls roughly $12 billion worth of Ether. The holdings made it the largest listed entity dedicated to accumulating Ether. Insiders have described ambitions to reach about 5% of the total Ether supply.

Risks Mount as Ether Prices Lag

Ether prices fell roughly 11% over the year. Even so, BitMine maintained its accumulation strategy. Investors betting on a future rebound stayed invested despite losses. The approach carries notable risks. Equity holders face dilution if BitMine issues new shares to fund purchases. They also assume corporate and governance risks absent from direct Ether ownership.

Market cycles also affect the strategy. BitMine reported an unrealized loss of about $4 billion on its Ether holdings during the late-2025 weakness. That figure showed treasury accumulation does not protect against falling crypto prices.

For many South Korean traders, BitMine still offers a bridge between traditional equities and digital assets. The combination of liquidity and crypto exposure continues to attract demand.