Odaily Odaily that Bitmine Immersion Technologies (BMNR) Chairman Tom Lee recently called on shareholders to approve a proposal to significantly increase the company's total authorized shares from the current 500 million to 50 billion. Lee described the proposal as a "dramatic" adjustment. The market reacted positively to the proposal. Following the news, BitMine's stock price rose 14% on Friday, reaching $30.93 as of 2:48 PM ET.
Lee stated that expanding the share authorization would facilitate the company's capital market operations and potential mergers and acquisitions, while also enabling future stock splits and maintaining the share price within a relatively reasonable range. He pointed out that BitMine's share price is highly correlated with the price of Ethereum, and if the price of Ethereum rises sharply, the company's share price may become excessively high.
