According to Woofun AI, BitMine (BMNR.US) suffered huge book losses in fiscal year 2026, and its 10-K report to the US Securities and Exchange Commission (SEC) revealed this financial dilemma. In the fiscal year ending August 31, the company recorded a net loss of $6.33.39 million, which was in sharp contrast to the net profit of $348.58 million achieved in the previous year. The core impact stemmed from a cliff-style decline in underlying digital asset valuations.
The main driver behind this financial reversal is the unrealized loss in digital asset holdings. According to data compiled by Woofun AI, BitMine confirmed an unrealized loss of $6.229.06 million in digital assets held, and this non-cash impairment accounted for the vast majority of total net losses. The loss was mainly due to a sharp drop in the price of ETH during the fiscal year, which led to a significant reduction in asset valuations.
Notably, despite a book loss of up to $6.3 billion, the company's actual cash flow situation was quite different: cash outflows from operating activities were only $35.1 million per year. This huge difference shows that the company's liquidity has not been exhausted due to book losses; the loss is essentially a revaluation at the valuation level rather than a loss of cash.
In terms of revenue structure, the staking business has become a core pillar of BitMine. Its total annual revenue reached US$124.81 million, an explosive increase from the previous year's US$6.1 million. Among them, revenue from ETH staking and verification services reached US$121.36 million, accounting for about 97% of total revenue; the remaining revenue was distributed among businesses such as BTC mining, consulting services, and equipment leasing.
This data distribution profoundly reflects the structural differences between ETH and BTC in the protocol-level revenue mechanism: BTC cannot generate endogenous returns by holding BTC alone, and ETH allows users to obtain additional returns through staking, and BitMine uses this mechanism to build the main source of cash flow.
BitMine's earnings report revealed the typical characteristics of Ethereum treasury companies in a volatile market environment: revenue growth and book losses coexisting. As ETH staking became a major source of revenue, the company is still extremely exposed to the risk of asset price fluctuations despite its hematopoietic capacity. This once again confirms the vulnerability of treasury companies with holding-centered strategies in valuation management after many crypto companies fell into losses due to depreciation of positions.