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DWF Labs co-founder Andrei Grachev warns BitMine and Strategy could trigger historic crypto crash

DWF Labs co-founder Andrei Grachev warns BitMine and Strategy could trigger historic crypto crash

Grachev said large unrealized losses tied to the Bitcoin and Ether treasury holdings of Strategy and BitMine could amplify downside pressure during the latest market pullback.

BTC
ETH

Fact Check
The primary source — Grachev's own X post (@ag_dwf, 2026-06-06) — directly states that BitMine and Strategy could create the largest crypto market crash in history, matching the headline. The BlockBeats article corroborates the supporting detail about unrealized losses on Strategy's BTC and BitMine's ETH treasury holdings (~$22B combined), aligning with the content statement. PANews and Odaily independently report the same warning citing the same X post.
Summary

DWF Labs co-founder Andrei Grachev said on June 7 that BitMine and Strategy have a strong chance of causing the biggest crash in crypto history, while adding that he hopes such an outcome does not happen. During the latest market pullback, Strategy was said to hold 843,706 BTC at an average cost of $75,699, leaving it with an unrealized loss of about $12.27 billion. Tom Lee-backed Ethereum treasury company BitMine was reported to hold 5,416,901 ETH at an average cost of $3,500, for an unrealized loss of about $10.35 billion. The comments underscore concern that concentrated corporate crypto treasuries can become a source of market stress if heavy losses force selling or undermine investor confidence.

Terms & Concepts
  • unrealized loss: A paper loss on an asset that has fallen below its purchase price but has not been sold yet.
  • crypto treasury: A company strategy of holding large amounts of digital assets such as Bitcoin or Ether on its balance sheet.