Bit Digital CEO Sam Tabar Outlines 'Strategic Asset Company' Framework at RedChip Conference Amid Crypto Selloff
February 4, 2026 · by Fintool Agent
Bit Digital-7.51% CEO Sam Tabar used his presentation at today's RedChip Fintech & Digital Asset Treasury (DATS) Virtual Investor Conference to articulate the company's transformation from Bitcoin miner to what he calls a "Strategic Asset Company"—a framework built on owning and operating productive digital infrastructure rather than passively holding assets.
The timing was notable: Ethereum has plunged 25% in the past week from $3,000 to roughly $2,270, dragging BTBT shares down 9% today to $1.76 and erasing approximately $108 million from the company's ETH treasury value since year-end.
Yet Tabar struck a resilient tone, highlighting that BTBT stock has outperformed pure-play Ethereum peers during the selloff—in part because of its diversified asset base that includes a 70% stake in AI data center operator Whitefiber-12.57%.
The Strategic Asset Company Framework
Tabar laid out a clear thesis: capital is abundant, but infrastructure is scarce.
"The core constraint today is not capital. It is infrastructure," Tabar said. "Over the last several years, capital has become abundant. What has not kept pace is the physical and digital infrastructure required to deploy that capital productively."
The company's strategy rests on two pillars:
Ethereum Economic Infrastructure: Bit Digital holds approximately 155,000 ETH with ~89% actively staked, generating approximately 3.5% annualized yield. The company views Ethereum not as a passive store of value like Bitcoin, but as "programmable economic infrastructure" that coordinates value, ownership, and execution.
AI Intelligence Infrastructure: The company owns approximately 27 million shares of Whitefiber-12.57% (NASDAQ: WYFI), representing 70% ownership. WhiteFiber owns and develops AI-focused data centers and recently signed an $865 million 10-year contract with Nscale Global Holdings.
Ask Fintool AI AgentFrom Bitcoin Miner to ETH Treasury
The transformation didn't happen overnight. Tabar walked investors through a deliberate multi-year pivot:
Bit Digital started as a Bitcoin miner in 2020. But Tabar concluded that mining offered poor risk-adjusted returns over the long term: "Returns tend to compress as hashrate grows, capital requirements rise, and differentiation is limited."
Starting in 2021, the company began converting Bitcoin into Ethereum—a move Tabar described as "unconventional" at the time. By 2025, Bit Digital had converted 100% of its treasury to ETH and wound down Bitcoin mining entirely.
The Ethereum thesis is straightforward: unlike Bitcoin, Ethereum generates native yield through staking.
"Bitcoin is simply a store of value. It is not a programmable system," Tabar said. "Ethereum settles value, runs applications, underpins stablecoins, and generates native yield through staking. That combination makes Ethereum better suited for a strategy centered on productive infrastructure."
Current Balance Sheet and Valuation Disconnect
As of year-end 2025, Bit Digital's two primary assets carried a combined market value of approximately $888 million:
| Asset | Holdings | Value (Dec 31, 2025) | Value (Feb 4, 2026)* |
|---|---|---|---|
| Ethereum (ETH) | 155,227 ETH | $460.5M | $352M |
| WhiteFiber (WYFI) shares | 27M shares | $427.3M | $429M |
| Combined | — | $888M | ~$781M |
*Estimated based on current ETH price of ~$2,270 and WYFI price of ~$15.88.
Yet Bit Digital's market cap is roughly $568 million—implying a significant discount to the marked-to-market value of its underlying assets.
Tabar acknowledged this gap but was characteristically measured: "We don't manage the company to close a discount in the short term, but we believe long-term compounding at the asset level is ultimately what matters."
The company's total assets have grown rapidly, more than doubling from $538 million in Q4 2024 to $1.13 billion in Q3 2025, driven by the WhiteFiber stake and ETH accumulation.
| Metric | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 |
|---|---|---|---|---|
| Revenue ($M) | $25.6* | $24.8 | $25.3 | $30.0 |
| Net Income ($M) | $29.0 | -$57.7* | $14.9 | $150.9 |
| Total Assets ($M) | $538.2 | $485.2 | $723.4 | $1,133.1 |
*Values retrieved from S&P Global.
WhiteFiber: The AI Infrastructure Play
The WhiteFiber stake represents Bit Digital's exposure to AI infrastructure without directly operating data centers.
Key highlights from the conference:
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$865M Nscale Contract: WhiteFiber's subsidiary Enovum Data Centers signed a 10-year colocation agreement with Nscale Global Holdings for 40 MW at its NC-1 data center campus in Madison, North Carolina. Billing begins April/May 2026.
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Growth Trajectory: Approximately 11 MW were online at end of 2025, expected to grow to over 75 MW by year-end 2026.
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No Selling in 2026: Tabar stated publicly that Bit Digital does not intend to sell any WhiteFiber shares this year.
Both stocks are under pressure today—BTBT down 9% and WYFI down 14%—as the broader crypto and tech complex sells off. But Tabar emphasized that BTBT's diversified asset base provides some cushion: "BTBT stock has held up considerably better than pure-play ETH peers over the past week, in part because of our diversified asset base."
Ask Fintool AI AgentWhy Not Just Buy ETH Directly?
During the Q&A, an investor asked bluntly: "Why buy BTBT? Why not just buy ETH or WhiteFiber separately?"
Tabar's response centered on the integrated strategy:
"Bit Digital provides integrated exposure. You get ETH, staking yield, and equity in WhiteFiber wrapped inside an active capital allocation framework. We compound inside that vehicle. Buying the pieces separately gives you the assets, but Bit Digital gives you the strategy."
He also highlighted a key differentiator versus "treasury companies" that simply hold assets: Bit Digital operates infrastructure. "We run the staking. We manage the validators. We maintain institutional custody. That gives us non-dilutive levers to increase asset density per share through staking yield and compounding."
Capital Structure and Leverage
Bit Digital raised $150 million in unsecured convertible notes in 2025—structured specifically to avoid collateralizing the ETH treasury.
"The ETH is not collateralized, which protects against forced selling in volatile markets like today and allows us to manage the business with a long-term view," Tabar explained.
This stands in contrast to some crypto treasury companies that have faced margin calls during price declines. With no secured debt against its ETH holdings, Bit Digital avoids the risk of forced liquidation.
What to Watch
Near-term catalysts:
- Q4 2025 earnings (expected March 13, 2026)
- WhiteFiber NC-1 going live with Nscale billing (April/May 2026)
- Ethereum price stabilization—current levels are well below the company's $3,045 average acquisition cost
Risks:
- Continued ETH weakness would further erode NAV
- WhiteFiber execution on 75 MW buildout target
- Regulatory uncertainty around crypto treasury structures
The bottom line: Bit Digital has successfully pivoted from a Bitcoin miner to a diversified digital infrastructure company with productive assets in Ethereum staking and AI data centers. The current discount to NAV reflects both crypto market weakness and execution risk on the AI infrastructure buildout. Whether that discount narrows depends on Ethereum's path forward and WhiteFiber's ability to deliver on its contracted backlog.
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