Bit Digital has announced its intention to conduct a registered public offering of convertible senior notes worth $100 million.

Under the terms of the offer, they will be senior, unsecured obligations of the company. They are due to mature on October 1, 2030, unless converted, redeemed, or repaid earlier.

Bit Digital plans to use the proceeds primarily for the purchase of Ethereum, as well as for general corporate purposes, including potential investments, acquisitions, and other business opportunities in the digital asset space.

According to Ethereum Treasuries, the company is the sixth-largest holder of the second-largest cryptocurrency by market capitalization, with 120,306 ETH in its portfolio.

In addition, the company will provide the underwriters with a 30-day option to purchase up to $15 million of additional notes to cover possible excess demand.

The holders will be able to convert them at any time up to two business days before the maturity date, receiving cash, Bit Digital ordinary shares, or a combination of these instruments at the company’s option.

The interest rate, initial conversion rate, and other parameters will be determined at the pricing stage.

As a reminder, in June 2025, Bit Digital announced that it would completely curtail bitcoin mining and switch to an Ethereum-focused strategy. The company has relied on the development of institutional staking and the use of the asset as a key tool for preserving value.

In mid-August, the company reported its first financial results after the transformation of its business model: despite a drop in revenue due to the abandonment of mining, Bit Digital recorded a net profit of $14.9 million in Q2, which is in stark contrast to the loss for the same period in 2024. The main driver of profitability was revenue from Ethereum staking.