Bit Digital CEO: Why I Bought More ETH

Author: Sam Tabar

Compiled by: Jiahua, ChainCatcher

I bought more ETH.

Not because of the cycle, nor because of the narrative. I examined the data, studied the asset, and determined that its pricing was misaligned. When I see pricing errors, I take action.

But this decision deserves more than just one tweet. The various questions it raises are worth our sincere exploration.

Framing it as "currency" is a mistake

The argument that "ETH is currency" represents the grandest vision for Ethereum's future development. I can understand its appeal. Currency is a coordination game that requires an extremely large and enduring consensus of belief, large enough to become self-fulfilling.

Bitcoin is participating in this game, stripping away all other attributes to win.

In contrast, Ethereum chose practicality.

This choice means that ETH cannot win the currency coordination game like Bitcoin. But it also means that Ethereum has built something that Bitcoin has never attempted: a programmable settlement layer, on which the entire world is actively building.

This is a completely different asset with a different value proposition. Measuring it with the logic of currency and calling it a failure is like grading a railway based on whether it can become a quality currency.

Value has materialized

The most common criticism I hear is that the coordination challenges between Ethereum's underlying layer, L2, developers, and the market have caused ecological fragmentation, leading ETH to miss its shining moment.

There is some truth to this. However, institutional capital does not need Ethereum to win any narrative wars. What it needs is a reliable, battle-tested, programmable settlement layer. Stablecoins are being issued on Ethereum. U.S. Treasuries are being tokenized on Ethereum. Transactions of AI agents are also starting to settle on Ethereum.

None of this needs to wait for narrative consensus. It is already happening.

When I decided to build around Ethereum, my logic was very straightforward: WhiteFiber provides us with the computing layer. ETH provides us with the settlement track. Computing and settlement are the two core elements needed for institutional finance to migrate on-chain.

Looking at the present, Ethereum is the only place that simultaneously possesses both and has achieved scale.

The story may still be unfolding. But the track has already been put to use.

The bet is not wrong, the timing is

Many people looked at ETH's price over the past two years and concluded that this trade is over. I believe they are focusing on the wrong catalyst.

Valuation re-evaluations will never come from retail enthusiasm for narratives; for an asset with such a large underlying infrastructure, that has always been a fragile foundation. The real catalyst is institutional demand, and institutional demand does not operate according to the timeline on crypto Twitter.

It will only act when the compliance framework is ready, when custodial tracks genuinely exist, and when the regulatory environment is stable enough for CFOs to sign off.

That moment is much closer than what the current price reflects.

Why I bought

I want to express one point very clearly. I hold ETH because I have a fiduciary duty to make wise capital allocation decisions, and at the price I bought in, ETH met that standard.

Putting aside those narratives, the essence of this asset is: it generates yield. Our staking business achieved a gross margin of 94.7% in the first quarter. This is a business, not just a vision.

It provides security for the dominant global smart contract platform, which processed trillions of dollars in transactions last year and is increasing institutional trading volume every quarter. Moreover, I believe its trading price is significantly discounted compared to the actual value of the infrastructure it drives.

I do not need ETH to become the world reserve currency to hold it. I just need it to remain as it is now and continue doing what it is doing.

Just based on that, it is enough for me to buy in. Similarly, it is enough for me to continue holding.