Ethereum News Tokenomics

BTCS Pioneers Crypto Dividends: First Public Company to Pay Shareholders in Ethereum

by Crypto Hobby

Updated August 27, 2025

Ethereum coins flowing into a shareholder's hand.

In a groundbreaking move for the cryptocurrency and traditional finance sectors, Nasdaq-listed Bitcoin mining company BTCS has announced it will become the first publicly traded company to offer dividends paid in Ethereum (ETH). This innovative dividend program aims to reward shareholders with digital assets, marking a significant shift in how companies can distribute value to their investors.

Key Takeaways

BTCS is pioneering the payment of dividends in Ethereum (ETH).
Shareholders can receive a $0.05 per share dividend in ETH or cash.
An additional loyalty payment of $0.35 per share in ETH is available for eligible shareholders.
The move aims to reward long-term investors and deter share lending.

Historic Ethereum Dividend Program

BTCS has unveiled a unique dividend initiative, allowing shareholders to receive a one-time dividend, dubbed a "Bividend," of $0.05 per share in ETH. The record date for this offering is September 26, 2025. The value of the ETH dividend will be determined by the USD/ETH exchange rate on this record date.

Shareholders must actively opt-in to receive the dividend in ETH and complete a verification process, which includes providing their name, email, phone number, and Ethereum wallet address. Those who do not opt-in will receive the standard $0.05 cash dividend.

Additional Ethereum Loyalty Payment

Beyond the initial dividend, BTCS is also introducing an Ethereum loyalty payment. Eligible shareholders can receive an additional $0.35 per share in ETH. This special payment is for shareholders who transfer and hold their BTCS shares directly with the company's transfer agent from the record date of September 26, 2025, through January 26, 2026. This offer is exclusively for holders of BTCS Common Stock, with employees and directors being excluded.

Rationale and Market Reaction

With the combined dividend and loyalty payment, eligible investors could receive a total of $0.40 per share in ETH. BTCS stated that the primary goal of this loyalty payment is to incentivize long-term investment and discourage shareholders from lending their shares to short-term traders. The company, which was the first crypto-related company to list on the American stock exchange since December 2010, views this as a way to reward its dedicated investor base.

The announcement had a positive impact on BTCS's stock price, which saw a significant surge following the news. While the stock experienced some volatility, the initiative highlights BTCS's strong commitment to Ethereum, having previously invested approximately $60 million in the cryptocurrency in May.