BTCS Inc. Arranges Financing to Buy up to $57.8 Million of Ether ($ETH) for Continued Strategy
BTCS Inc. (NASDAQ: BTCS) has secured a financing agreement for up to $57.8 million through convertible notes led by ATW Partners LLC, specifically for purchasing Ethereum (ETH). The initial tranche amounts to $7.8 million, with an additional capacity of $50 million subject to mutual consent. The notes, convertible at $5.85 per share (194% premium), mature on May 13, 2027, with a 5% original issue discount and 6% annual interest. Investors received warrants to purchase 1,901,916 shares at $2.75 per share.
CEO Charles Allen personally invested $95,000, with an additional $200,000 from a trust where he's a beneficiary. The company plans to use the funds to scale its validator node operations, increase ETH holdings, and enhance staking rewards through its Builder+ platform. H.C. Wainwright & Co. served as the exclusive placement agent.
BTCS Inc. (NASDAQ: BTCS) ha ottenuto un accordo di finanziamento fino a 57,8 milioni di dollari tramite note convertibili guidate da ATW Partners LLC, destinate specificamente all'acquisto di Ethereum (ETH). La tranche iniziale ammonta a 7,8 milioni di dollari, con una capacità aggiuntiva di 50 milioni di dollari soggetta a consenso reciproco. Le note, convertibili a 5,85 dollari per azione (premio del 194%), scadono il 13 maggio 2027, con uno sconto originale del 5% e un interesse annuo del 6%. Gli investitori hanno ricevuto warrant per acquistare 1.901.916 azioni a 2,75 dollari per azione.
Il CEO Charles Allen ha investito personalmente 95.000 dollari, con ulteriori 200.000 dollari provenienti da un trust di cui è beneficiario. L'azienda intende utilizzare i fondi per espandere le operazioni dei nodi validatori, aumentare le riserve di ETH e migliorare i premi di staking attraverso la piattaforma Builder+. H.C. Wainwright & Co. ha agito come agente di collocamento esclusivo.
BTCS Inc. (NASDAQ: BTCS) ha asegurado un acuerdo de financiamiento por hasta 57,8 millones de dólares mediante notas convertibles lideradas por ATW Partners LLC, especÃficamente para la compra de Ethereum (ETH). El tramo inicial es de 7,8 millones de dólares, con una capacidad adicional de 50 millones de dólares sujeta a consentimiento mutuo. Las notas, convertibles a 5,85 dólares por acción (prima del 194%), vencen el 13 de mayo de 2027, con un descuento original del 5% y un interés anual del 6%. Los inversores recibieron warrants para comprar 1.901.916 acciones a 2,75 dólares por acción.
El CEO Charles Allen invirtió personalmente 95.000 dólares, con otros 200.000 dólares provenientes de un fideicomiso donde es beneficiario. La empresa planea usar los fondos para ampliar sus operaciones de nodos validadores, aumentar sus tenencias de ETH y mejorar las recompensas de staking a través de su plataforma Builder+. H.C. Wainwright & Co. actuó como agente de colocación exclusivo.
BTCS Inc. (NASDAQ: BTCS)ëŠ� ì´ë”리움(ETH) 구매ë¥� 위해 ATW Partners LLCê°€ 주ë„하는 ì „í™˜ì‚¬ì±„ë¥� 통해 최대 5780ë§� 달러ì� ìžê¸ˆ 조달 계약ì� 체결했습니다. 초기 트랜치는 780ë§� 달러ì´ë©°, ìƒí˜¸ ë™ì˜í•˜ì— 추가ë¡� 5000ë§� 달러까지 가능합니다. ì „í™˜ ê°€ê²©ì€ ì£¼ë‹¹ 5.85달러(194% 프리미엄)ì´ë©°, 만기ëŠ� 2027ë…� 5ì›� 13ì�, 5%ì� ì›ê¸ˆ í• ì¸ê³� ì—� 6% ì´ìžë¥� ì œê³µí•©ë‹ˆë‹�. 투ìžìžë“¤ì€ 주당 2.75달러ì—� 1,901,916주를 매수í•� ìˆ� 있는 워런트를 받았습니ë‹�.
CEO 찰스 ì•¨ëŸ°ì€ ê°œì¸ì 으ë¡� 9ë§� 5ì²� 달러ë¥� 투ìží–ˆìœ¼ë©�, 그가 수ìµìžì¸ ì‹ íƒì—서ë� 20ë§� 달러ë¥� 추가ë¡� 투ìží–ˆìŠµë‹ˆë‹¤. 회사ëŠ� ì� ìžê¸ˆì� 활용í•� ê²€ì¦ìž 노드 ìš´ì˜ì� í™•ìž¥í•˜ê³ , ETH ë³´ìœ ëŸ‰ì„ ëŠ˜ë¦¬ë©�, Builder+ 플랫í¼ì„ 통해 스테ì´í‚¹ ë³´ìƒì� ê°•í™”í•� 계íšìž…니ë‹�. H.C. Wainwright & Co.ê°€ ë…ì 배치 대리ì¸ìœ¼ë¡œ 활ë™í–ˆìŠµë‹ˆë‹¤.
BTCS Inc. (NASDAQ : BTCS) a obtenu un accord de financement pouvant aller jusqu'à 57,8 millions de dollars via des billets convertibles menés par ATW Partners LLC, spécifiquement destinés à l'achat d'Ethereum (ETH). La première tranche s'élève à 7,8 millions de dollars, avec une capacité supplémentaire de 50 millions de dollars sous réserve d'un accord mutuel. Les billets, convertibles à 5,85 dollars par action (prime de 194 %), arrivent à échéance le 13 mai 2027, avec un escompte initial de 5 % et un intérêt annuel de 6 %. Les investisseurs ont reçu des bons de souscription leur permettant d'acheter 1 901 916 actions à 2,75 dollars chacune.
Le PDG Charles Allen a investi personnellement 95 000 dollars, avec 200 000 dollars supplémentaires provenant d'une fiducie dont il est bénéficiaire. La société prévoit d'utiliser les fonds pour développer ses opérations de nœuds validateurs, augmenter ses avoirs en ETH et améliorer les récompenses de staking via sa plateforme Builder+. H.C. Wainwright & Co. a agi en tant qu'agent de placement exclusif.
BTCS Inc. (NASDAQ: BTCS) hat eine Finanzierungsvereinbarung über bis zu 57,8 Millionen US-Dollar durch wandelbare Schuldverschreibungen unter Führung von ATW Partners LLC abgeschlossen, die speziell für den Kauf von Ethereum (ETH) vorgesehen sind. Die anfängliche Tranche beträgt 7,8 Millionen US-Dollar, mit einer zusätzlichen Kapazität von 50 Millionen US-Dollar, die der gegenseitigen Zustimmung unterliegt. Die Schuldverschreibungen sind zu 5,85 US-Dollar pro Aktie wandelbar (194 % Aufschlag), laufen am 13. Mai 2027 ab, mit einem ursprünglichen Ausgabeabschlag von 5 % und einem jährlichen Zinssatz von 6 %. Investoren erhielten Optionsscheine zum Kauf von 1.901.916 Aktien zu je 2,75 US-Dollar.
CEO Charles Allen investierte persönlich 95.000 US-Dollar, zusätzlich 200.000 US-Dollar stammen aus einem Trust, bei dem er Begünstigter ist. Das Unternehmen plant, die Mittel zur Skalierung seiner Validator-Knoten, zur Erhöhung der ETH-Bestände und zur Steigerung der Staking-Belohnungen über seine Builder+-Plattform zu verwenden. H.C. Wainwright & Co. fungierte als exklusiver Platzierungsagent.
- Secured significant financing of up to $57.8 million for ETH purchases
- High conversion premium of 194% at $5.85 per share
- CEO's personal investment demonstrates confidence in the strategy
- Potential for increased recurring revenue through staking and block building operations
- Strategic alignment with Ethereum's growth trajectory
- Additional debt burden with 6% annual interest rate
- Potential dilution from convertible notes and warrants
- High concentration risk in single cryptocurrency (ETH)
- Execution dependent on ETH price performance
Insights
BTCS secures up to $57.8M financing to acquire Ethereum, positioning for revenue growth through expanded validator operations and potential ETH appreciation.
BTCS has made a bold strategic move by securing financing of up to
The convertible notes come with a
What's particularly notable is the CEO's personal investment of
The company is explicitly positioning this move as similar to MicroStrategy's Bitcoin accumulation strategy, but with a key difference—BTCS's Ethereum holdings generate recurring revenue through validator operations, staking rewards, and their Builder+ platform. Unlike purely speculative holdings, BTCS is leveraging ETH as both an appreciating asset and an operational infrastructure component.
This follows their previous borrowing through AAVE (a DeFi protocol) to acquire ETH, demonstrating a systematic approach to ETH accumulation. By scaling validator operations, BTCS aims to increase recurring revenue streams while simultaneously positioning for potential appreciation in ETH's value—effectively creating dual return pathways for shareholders.
First tranche of
Silver Spring, Maryland--(Newsfile Corp. - May 14, 2025) - BTCS Inc. (NASDAQ: BTCS) ("BTCS" or the "Company"), a blockchain technology-focused company, today announced that it has entered into an agreement for the issuance of convertible notes (the “Agreement”) through a facility of up to
Pursuant to the financing, the Company issued the initial tranche of notes in the aggregate principal amount of
The notes are convertible into common stock at a fixed conversion price of
Charles Allen, Chairman and CEO of BTCS, personally invested
"This capital infusion is expected to enable us to scale our validator node operations by increasing our ETH holdings at what we believe is a critical inflection point in Ethereum's growth trajectory," said Charles Allen, CEO of BTCS. "Similar to how MicroStrategy leveraged its balance sheet to accumulate Bitcoin, we are executing a disciplined strategy to increase our Ethereum exposure and drive recurring revenue through staking and our block building operations-while positioning BTCS for meaningful appreciation should ETH continue to rise in value."
Strategic Ethereum Accumulation to Drive Revenue and Long-Term Value
This transaction follows BTCS’s recent strategic move to borrow through AAVE, a decentralized finance protocol, to acquire additional ETH. Both financing initiatives reflect the Company’s conviction in Ethereum as a foundational digital asset and its role as a core revenue-generating engine for BTCS.
By increasing ETH holdings, BTCS aims to deploy additional validators, expand staking rewards, and further optimize block production economics through its Builder+ platform.
H.C. Wainwright & Co. acted as the exclusive placement agent for the offering. The foregoing description does not purport to be complete and is qualified in its entirety by reference to the full text of the Company’s current report on the Company’s Form 8-K filed with the Securities and Exchange Commission on May 14, 2025, available at .
About BTCS:
BTCS Inc. (NASDAQ: BTCS) is a U.S.-based blockchain infrastructure technology company currently focused on driving scalable revenue growth through its blockchain infrastructure operations. BTCS has honed its expertise in blockchain network operations, particularly in block building and validator node management. Its branded block-building operation, Builder+, leverages advanced algorithms to optimize block construction for on-chain validation, thus maximizing gas fee revenues. BTCS also supports other blockchain networks by operating validator nodes and staking its crypto assets across multiple proof-of-stake networks, allowing crypto holders to delegate assets to BTCS-managed nodes. In addition, the Company has developed ChainQ, an AI-powered blockchain data analytics platform, which enhances user access and engagement within the blockchain ecosystem. Committed to innovation and adaptability, BTCS is strategically positioned to expand its blockchain operations and infrastructure beyond Ethereum as the ecosystem evolves. Explore how BTCS is revolutionizing blockchain infrastructure in the public markets by visiting .
Forward-Looking Statements:
Certain statements in this press release constitute "forward-looking statements" within the meaning of the federal securities laws, including statements regarding investment opportunities from Ethereum, expectations from our capital infusion, and our ability to capitalize on Ethereum's growth. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend" or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are based upon assumptions and are subject to various risks and uncertainties, including without limitation regulatory issues (including potential SEC enforcement actions and changes in federal and state securities laws), cybersecurity risks, technological challenges, market adoption risks, changes in blockchain protocols, continued volatility in the cryptocurrency markets, smart contract risks, risks related to digital asset custody, and other risks inherent to blockchain technology and cryptocurrency operations, as well as risks set forth in the Company's filings with the Securities and Exchange Commission including its Form 10-K for the year ended December 31, 2024 which was filed on March 20, 2025. Thus, actual results could be materially different. The Company expressly disclaims any obligation to update or alter statements, whether as a result of new information, future events, or otherwise, except as required by law.
This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful. These securities have not been, and will not be, registered under the United States Securities Act of 1933, or any state securities laws, and may not be offered or sold in the United States or to U.S. persons unless registered or exempt therefrom.
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