Bit Digital (BTBT) announced Wednesday it is changing its business strategy to focus solely on ether (ETH) staking and treasury operations. Through the sale of its bitcoin mining business to the New York-based firm. To fund its growing ETH strategy, it will repurpose its assets and capital into that strategy.

Naturally, the company’s shares are down 3.41% in after-hours trading immediately following the announcement. This change occurs as Bit Digital, which has a real estate business model, had been impacted by the harsh mining landscape since last year’s halving. The halving also halved the BTC rewards per block for miners facilitating transactions, further squeezing profit margins.

Bit Digital will focus Ethereum staking going forward as ETH/BTC ratio has been reduced 75% since December 2021. The company is looking to stake its fortune on the greater profitability of ether staking being a more profitable line of business.

Tom has a bachelor’s degree in English literature from McGill University. Currently based in Costa Rica, his writing focuses on financial markets & bitcoin mining trends, along with crypto & bitcoin adoption in Latin America. He and others will be looking with a fine eye to see how this transition pans out for Bit Digital. The company’s strategic pivot is a testament to the changing tides in the cryptocurrency mining space.