BitMine announced the deployment of its “Made-in-America Validator Network” (MAVAN) to start ETH staking in early Q1 2026, aiming to turn its large Ethereum holdings into a source of yield. The move comes at a difficult moment: the crypto market is in a steep decline, with total capitalization down 6.31% in November and Bitcoin falling below $85,553, a backdrop that intensifies losses on BitMine’s Ether treasury.
BitMine Turns to Staking as Losses Mount in a Deep Crypto Downtrend
BitMine plans to convert its ETH reserves into a yield-generating engine through MAVAN, an infrastructure built with institutional standards and regulatory compliance in mind. The company says it holds 3.56 million ETH — about 2.9% of all ETH in existence, worth more than $13,000M. It also added 63,114 ETH in the last week, signaling continued accumulation despite market stress. The company’s goal is clear: maximize yields while keeping full control of its tokens, avoiding fees and opaque structures common in some treasury models.
In its 2025 fiscal year, BitMine reported $328.16M in net income and GAAP EPS of $13.39, alongside a rare dividend of $0.01 per share, unusual among major crypto-sector issuers. According to BitMine, MAVAN will support its long-term financial strategy by turning passive holdings into recurring income streams.
The announcement arrives during a sharp market retreat, with total capitalization falling to around $2.95B after widespread liquidations and a major liquidity crunch — including the largest daily liquidation since October.
As a result, BitMine now faces more than $4,000M in unrealized losses on its Ether position. Its average purchase price sits at $4,009, while recent trading levels range between $2,700 and $3,023 per ETH. Unsurprisingly, the company’s stock reflects the pressure, recording a 49.8% drop in the last month.
Analyst Markus Thielen of 10x Research warned of structural risks in digital treasury models, describing a potential “Hotel California scenario” for some investors — highlighting liquidity challenges and embedded fees. Even so, chairman Tom Lee expressed optimism, pointing to expectations of “V-shaped recoveries” in the broader market.
For traders and treasuries, MAVAN presents new strategic considerations: staking timing vs. spot prices, the risk of locking ETH during volatile periods, and the impact of fees and operational costs on net yield. Turning part of a treasury into a yield-producing asset can improve cash flow, but it increases vulnerability to price drops and liquidity shocks.
BitMine maintains its plan to launch MAVAN in early Q1 2026, aiming to convert a massive ETH treasury into a reliable income stream. The strategy may draw institutional interest focused on compliance and control, but it unfolds during a period of heavy losses and elevated volatility, creating clear risks for investors and treasury teams.