Shares of BTCS Inc (NASDAQ:BTCS) soared 11% after the blockchain-focused firm announced a $10 million convertible note financing agreement with ATW Partners LLC, further reinforcing its aggressive Ethereum investment strategy.
The company said the newly arranged funding adds to its liquidity reserves, pushing the combined market value of its Ethereum holdings, cash, and other liquid assets to around $242.2 million, based on an ETH price of $3,600. BTCS currently holds 55,788 ETH at an average purchase price of $2,846, reflecting a 516% increase in its Ethereum position so far this year.
The convertible notes carry a fixed conversion price of $13 per share, a 198% premium over BTCS’s July 18, 2025, closing price of $6.57. Maturing on July 21, 2027, the notes feature a 5% original issue discount and bear interest at a 6% annual rate.
Alongside the notes, BTCS is issuing five-year warrants to acquire 879,375 common shares at an exercise price of $8— a 122% premium over its most recent closing price. The deal is expected to close by July 22, 2025.
“We believe that BTCS is the most financially and operationally leveraged Ethereum play in public markets today,” said Charles Allen, CEO of BTCS. “Our vertically integrated block-building and node operations are generating record revenue, and when combined with solid execution of our hallmark DeFi/TradFi Accretion Flywheel, BTCS offers investors scalable, high-growth exposure to Ethereum.”
So far in 2025, BTCS has raised $189 million via a blend of capital strategies, including $132 million in at-the-market equity sales, $17 million through above-market convertible debt, and $40 million from decentralized finance borrowing. The company said these moves are part of its broader plan to maximize Ethereum exposure while minimizing shareholder dilution.
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