BTCS Inc. (BTCS): Business Model Canvas [Dec-2025 Updated]

You're looking at a company that isn't just holding Ethereum; they're actively engineering returns from it. Forget simple staking; the core of this operation is an aggressive, Ethereum-first strategy blending high-speed block-building with a capital flywheel. As of Q3 2025, they sit on a treasury of 70,322 ETH, but the real story is how they're turning that into cash flow, hitting a record $4.94 million in revenue, largely thanks to $3.36 million from their Builder+ operation. I've seen countless models, but this structure-balancing infrastructure build-out against significant unrealized gains of $73.72 million that quarter-is what separates the players from the builders. Dive in below to see the nine building blocks that define this unique approach to maximizing shareholder value in the decentralized economy.

BTCS Inc. (BTCS) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that power BTCS Inc.'s strategy, especially the focus on Ethereum infrastructure and capital efficiency. Here are the hard numbers tied to those key alliances as of late 2025.

The relationship with Aave, a decentralized finance (DeFi) protocol, is central to BTCS Inc.'s capital structure, which they call the DeFi/TradFi Accretion Flywheel. As of July 14, 2025, BTCS Inc. secured an additional $2.34 million USDT loan, bringing the total borrowing on Aave to approximately $17.8 million USDT. This borrowing was collateralized by about 16,232 Ethereum (ETH), valued at roughly $49.1 million based on an ETH price of $3,025. The effective net cost of capital, calculated as interest paid minus interest earned, was approximately 3.4%, with the borrowing rate around 5.4% per annum and the collateral earning about 2%. By July 21, 2025, the total Aave Stablecoin Loans (DeFi) contribution to year-to-date funding was reported at $40 million, which is 21% of the $189 million raised year-to-date. This leverage is managed under a Board-authorized cap of up to 40% of total assets.

The integration with Rocket Pool, a liquid staking protocol, directly impacted validator scale. BTCS Inc. expanded its validator node count from 240 to 522. Specifically, 320 validators were deployed into Rocket Pool's liquid staking pool following a five-month due diligence process. Internally, BTCS Inc. projected up to a 10% increase in vertically integrated validator revenue from this move. As of July 11, 2025, the staked ETH via Rocket Pool Nodes totaled 4,160 ETH.

Securing direct order flow from MetaMask was a major operational milestone for the Builder+ business. During the second quarter of 2025, BTCS Inc.'s block builder achieved a 2.7% market share of all Ethereum network transactions, which qualified the company for the direct order flow starting July 1, 2025. MetaMask is noted as having over 100 million users. This integration complemented four other order flow partnerships secured in Q2: Blink, Kolibrio, Cowswap, and Copium. Builder+ revenue in Q3 2025 reached $3.36 million, an increase of 730% Year-over-Year.

The ETHGas partnership involved a strategic investment from BTCS Inc. of $250,000, structured as a Simple Agreement for Future Tokens (SAFT), which designates BTCS Inc. as a Priority Builder. This collaboration is designed to enable transaction confirmations reportedly 100 times faster than those on the Solana blockchain. BTCS Inc. also completed successful pre-confirmation integrations with ETHGas post-Q2.

The Staker Protection Plan (SPP), a collaboration with Figment and WonderFi, launched its pilot program in March 2025. Figment manages staking infrastructure for over 700 institutional clients with $15 billion in staked assets. WonderFi, the first participant, holds over $2.2 billion in assets across its platforms like Bitbuy and Coinsquare. The plan aims to optimize the Staking Rewards Rate (SRR) for stakers.

Here's a quick look at the scale of operations and financial context surrounding these partnerships as of late 2025:

Metric	Value/Amount	Date/Period	Related Partnership/Context
Q3 2025 Revenue	$4.94 million	Three months ended 9/30/25	Overall Company Performance
Builder+ Revenue	$3.36 million	Q3 2025	MetaMask Order Flow Contributor
Total ETH Holdings	70,322 ETH	9/30/25	Collateral/Asset Base
Total ETH Holdings Value	$291.58 million	9/30/25	Collateral/Asset Base
Total Assets	$298.86 million	Q3 2025	Overall Company Scale
ETH Collateral on Aave	14,280 ETH	7/11/25	Aave Borrowing
Rocket Pool Validators	320	January 2025	Rocket Pool Integration
MetaMask User Base	100 million+	Q2 2025	MetaMask Order Flow
ETHGas Investment	$250,000	February 2025	ETHGas Partnership
Figment Institutional Clients	700+	February 2025	Staker Protection Plan (SPP)

The success of the Builder+ segment is evident in its Q3 2025 revenue, which was 34% sequentially higher than Q2 2025. The total funding raised year-to-date through the flywheel strategy, including DeFi borrowing, reached $189 million as of July 21, 2025. WonderFi, as the first SPP pilot customer, is a major regulated platform holding over $2.2 billion in assets.

• ETH collateral value for Aave loan (July 14, 2025): $49.1 million.
• Projected validator revenue increase from Rocket Pool: up to 10%.
• MetaMask market share qualification: 2.7% of all Ethereum transactions in Q2 2025.
• Total Aave borrowing (July 14, 2025): $17.8 million USDT.
• Figment assets staked under management: $15 billion.

Finance: draft 13-week cash view by Friday.

BTCS Inc. (BTCS) - Canvas Business Model: Key Activities

You're looking at the core engine driving BTCS Inc.'s explosive growth as of late 2025. The company has firmly committed to an Ethereum-first infrastructure play, and the key activities reflect this singular focus, moving away from legacy staking operations.

Operating Ethereum validator nodes (NodeOps) and staking assets

This activity secures the Ethereum network and generates native ETH rewards. BTCS Inc. operates validators through both Rocket Pool and its own solo nodes, retaining 100% of consensus and execution rewards from the solo validators. As of July 11, 2025, the breakdown of staked ETH across these operations showed:

• 4,160 via Rocket Pool Nodes
• 6,300 via Solo Nodes
• 4,382 in the staking queue

The NodeOps segment contributed 17% of the total revenue for the third quarter of 2025 (Q3 2025). For the three months ended September 30, 2025, NodeOps revenue specifically reached $858,867. This operation is vertically integrated with the Builder+ business, allowing BTCS Inc. to capture value across multiple stages of the Ethereum transaction cycle.

Running the proprietary Builder+ block-building operation

Builder+ is the primary revenue driver, focusing on block-building activities on Ethereum and Binance Smart Chain. This operation is what's generating the massive revenue increases you're seeing. For Q3 2025, Builder+ revenue hit $3.36 million, which represented approximately 68% of the total quarterly revenue. That quarterly revenue figure was up an incredible 730% year-over-year (YoY). The growth was attributed to higher transaction volume, greater order flow, and technical optimizations across the block-building infrastructure.

Here's how the revenue streams broke down for the third quarter of 2025:

Activity	Q3 2025 Revenue Amount	Percentage of Total Revenue
Builder+ (Block Building)	$3,356,357	68%
NodeOps (Staking)	$858,867	17%
Imperium (DeFi)	$723,279	15%
Total Revenue	$4,938,503 (Reported as $4.94 million)	100%

The gross margin for Q3 2025 improved significantly to 22%, up from a negative (2.9%) in Q2 2025, showing early operating leverage from scaling this core activity.

Executing the DeFi/TradFi Accretion Flywheel capital strategy

This strategy blends decentralized finance (DeFi) with traditional capital markets to accumulate ETH at scale without excessive dilution. BTCS Inc. raised approximately $139 million through its ATM program and convertible notes by Q3 2025. A key component of the DeFi side involves leveraging their ETH treasury. As of the third quarter of 2025, the company grew its ETH-backed borrowings through Aave to $56.5 million. This capital structure supports growth while maintaining a stated 40% Net Asset Value (NAV) leverage cap.

Managing the Imperium DeFi business line for on-chain yield

Imperium represents the expansion into decentralized finance for on-chain yield generation. This was the first full quarter of reporting for this segment in Q3 2025. Imperium contributed 15% of the total Q3 revenue. The specific revenue generated by the Imperium DeFi operations for the three months ended September 30, 2025, was $723,279. BTCS Inc. also became the first public company to integrate Aave directly into its balance-sheet operations, using the protocol to earn rewards on deployed assets without divesting them.

Developing the ChainQ AI-powered blockchain data analytics platform

ChainQ is the company's AI-powered platform designed to enhance user access and engagement with blockchain data. A major enhancement in 2025 was the integration of the entire historical dataset of Bitcoin transactions, dating back to its 2009 inception. This allows for deep analysis of Bitcoin transactions, addresses, and patterns. The platform features include:

• Faster search speeds and query execution
• Optimized AI-driven indexing
• Visualizations for data interpretation
• SQL query support for advanced analysis and export options

The development focus is on improving efficiency, allowing users to conduct deep blockchain research in a fraction of the time compared to traditional explorers.

BTCS Inc. (BTCS) - Canvas Business Model: Key Resources

You're looking at the core assets BTCS Inc. uses to execute its Ethereum-first strategy. These aren't just line items; they are the operational engines driving their value proposition. Honestly, the balance sheet itself has become a primary resource.

Here's a snapshot of the most significant, quantifiable assets as of the end of the third quarter of 2025:

Asset Category	Metric	Value as of September 30, 2025
Ethereum Treasury	Total ETH Held	70,322 ETH
Digital Asset Value	USD Valuation of ETH Holdings	$291.58 million
2025 Capital Inflow	Total Capital Raised Year-to-Date	Over $200 million

The digital asset treasury is central to the whole operation. That 70,322 ETH held on September 30, 2025, represents a massive commitment to the network, valued at $291.58 million at that time. This is the fuel for their DeFi/TradFi flywheel.

The proprietary software is a key differentiator. BTCS Inc. relies heavily on its Proprietary Builder+ block-building software and algorithms. This technology is designed to optimize block construction for on-chain validation, which directly translates into maximizing gas fee revenues from their block-building operation. It's a direct revenue amplifier.

For the physical layer, the company maintains its bare-metal server infrastructure for low-latency operations. This hardware underpins their NodeOps, allowing them to run validator nodes across multiple proof-of-stake networks, including Ethereum, ensuring they can participate effectively in network consensus and staking activities. This infrastructure is defintely critical for maintaining service quality.

To fund the asset accumulation and infrastructure scaling, capital formation has been aggressive. The company reported raising more than $200 million through various instruments during 2025 to support this growth. Here's how that capital deployment was structured, based on earlier announcements:

• At-The-Market (ATM) equity sales.
• Convertible debt issuance.
• On-chain borrowing via Aave.
• Yield generated from NodeOps (staking Ethereum).

BTCS Inc. (BTCS) - Canvas Business Model: Value Propositions

You're looking at the core value BTCS Inc. (BTCS) delivers to its stakeholders, especially as of late 2025, based on their Ethereum-first strategy execution. Honestly, the numbers from the third quarter of 2025 really tell the story of their focus.

Scalable, high-growth exposure to the Ethereum economy for investors

The primary value here is direct, leveraged exposure to the appreciation of Ethereum (ETH). BTCS Inc. has aggressively scaled its ETH treasury, which acts as the core asset driving shareholder value through both direct appreciation and operational deployment.

As of September 30, 2025, the company's ETH holdings reached 70,322 ETH, valued at $291.58 million on the balance sheet. That's a massive jump, representing a 676% year-to-date increase in holdings. This focus translates directly to the investor via ETH per share, which grew from 0.68 to 1.49 for Q3 2025, a 124% increase in ETH per share for the quarter. You see the growth, and it's defintely tied to their asset accumulation.

Maximizing gas fee revenues via the efficient Builder+ block-building

The Builder+ operation is the engine for capturing on-chain economic activity, specifically maximizing gas fee revenues through optimized block construction. This segment is the largest revenue driver, showing clear operating leverage as the infrastructure scales.

For the third quarter of 2025, Builder+ revenue hit $3.36 million. That's a 730% year-over-year surge and a 34% sequential increase. The efficiency is clear when you look at the overall revenue mix for Q3 2025:

Revenue Segment	Q3 2025 Revenue Contribution Percentage
Builder+ (Block-Building)	68%
NodeOps (Staking/Validator)	17%
Imperium (DeFi Activity)	15%

Compliant and predictable validator revenue through the SPP

Predictability in a volatile space is a huge value-add. BTCS Inc. introduced the Staker Protection Plan (SPP) in January 2025 to address this for its validator operations, which fall under NodeOps. This plan is designed to stabilize earnings from staking activities.

The SPP's key features include:

• A Revenue Shield to stabilize validator earnings.
• Potential to increase earnings by up to 4%.
• A Compliance Framework ensuring adherence to regulatory standards like OFAC.
• Integrated Full Block Pre-confirmations for transaction assurance.

Unique capital efficiency via the DeFi/TradFi Accretion Flywheel

This flywheel is how BTCS Inc. funds its ETH accumulation and infrastructure scaling without relying solely on equity sales, which can dilute value. It blends traditional financing with decentralized finance borrowing.

As of late 2025, the company had raised approximately $207 million year-to-date through this strategy. They maintain a disciplined risk posture by keeping leverage low. For instance, as of July 11, 2025, the Total Debt was $22.9 million against Total Crypto & Cash Assets of $96.3 million, resulting in a Debt-to-Assets Ratio of 24%. This is well within their stated 40% Net Asset Value leverage cap.

Here's a look at the capital deployment sources through the flywheel:

• ATM Sales: $132 million (representing 70% of the $189 million raised by July 21, 2025).
• Aave Stablecoin Loans (DeFi): $40 million (representing 25% of the $160 million raised by July 11, 2025).
• Above-Market Convertible Debt: $17 million (as of July 21, 2025).

Recurring revenue generation from active treasury deployment

The value proposition here is that the massive ETH treasury isn't just sitting there; it's actively deployed to generate recurring revenue streams, which is a key differentiator from a passive treasury strategy. This deployment fuels the Imperium and NodeOps segments.

The Imperium business line, focused on DeFi activity, was new in 2025 and contributed 15% of the total revenue in Q3 2025. Furthermore, the NodeOps (staking) segment, which deploys staked ETH, accounted for 17% of Q3 2025 revenue. The goal is to generate yield even in flat markets by deploying proceeds into staking and DeFi, rather than just holding assets.

The overall financial performance in Q3 2025 shows the result of this active deployment: Revenue was $4.94 million, a 568% increase year-over-year, and gross margins improved to 22% from negative (2.9%) in Q2 2025, showing early operating leverage from scaling these revenue-generating activities.

BTCS Inc. (BTCS) - Canvas Business Model: Customer Relationships

You're looking at how BTCS Inc. (BTCS) manages its relationship with its diverse customer base, which is heavily weighted toward public shareholders and institutional partners in the digital asset space. The focus is clearly on rewarding long-term holders and maintaining a high degree of public disclosure.

Investor Relations (IR) for public shareholders via NASDAQ

BTCS Inc. maintains its relationship with public shareholders through its listing on NASDAQ, emphasizing transparency through frequent reporting. The company issued a 2025 Shareholder Letter on January 7, 2025, reflecting on 2024 and outlining the 2025 vision. You can find the refreshed investor presentation at www.btcs.com/investors/. The company reported record Q3 2025 revenue of $4.94 million, up 568% Year-over-Year (YoY), and a Net Income of $65.59 million for the quarter ended September 30, 2025. For the nine-month period ending September 30, 2025, revenue reached $9.40 million.

Direct technical integration with institutional partners

The relationship with institutional players is built on technical infrastructure and strategic alignment within the Ethereum ecosystem. BTCS strengthened partnerships with prominent industry participants including Figment, WonderFi, Angstrom, and MetaMask during Q3 2025. Furthermore, BTCS launched its new Imperium business line and successfully integrated Aave to extend its Ethereum-first strategy into Decentralized Finance (DeFi). In Q1 2025, the company launched the Staker Protection Plan (SPP) in partnership with Figment and WonderFi, designed to support institutional validators. As of July 11, 2025, BTCS held 29,122 ETH, with 4,160 ETH staked via Rocket Pool Nodes and 6,300 ETH via Solo Nodes. Institutional investors held 3.48% of the stock as of late 2025.

Transparency in operations and financial reporting

Transparency is demonstrated through the detailed reporting of its Ethereum-first strategy execution. Gross margins improved to 22% in Q3 2025, up from (2.9%) in Q2 2025, reflecting operating leverage from scaling activity. Total assets grew to $298.86 million in Q3 2025, a 632% increase. The company's ETH holdings increased to 70,322 ETH as of September 30, 2025, valued at $291.58 million. The CEO, Charles Allen, published a thought leadership piece entitled "Why Fake Shares and Forced Lending Must Be Outlawed".

Community engagement via social media and Discord

BTCS Inc. engages its community through social media channels and Discord to communicate strategy and operational updates. The CEO has actively published thought leadership content to engage the broader community on industry topics.

Shareholder value focus, including an ETH dividend

The focus on shareholder value is concrete, highlighted by direct distributions in digital assets. BTCS made history as the first public company to issue a dividend in ETH. You can see the key shareholder value actions below.

Shareholder Action/Metric Amount/Value Form/Date/Eligibility Special 'Bividend' Rate $0.05 per share Payable in Cash (Default) or Ethereum (ETH) by October 17, 2025 Loyalty Payment Rate $0.35 per share Payable solely in ETH by February 6, 2026; requires holding shares from September 26, 2025 through January 26, 2026 ETH per Common Share (Q3 2025) 1.49 Up from 0.68 in the prior quarter Share Repurchase Program Availability $46 million remaining Authorized over three years; as of November 10, 2025

The company's strategy aims to reward shareholders and potentially limit predatory short-selling practices by incentivizing direct ETH ownership.

BTCS Inc. (BTCS) - Canvas Business Model: Channels

You're looking at how BTCS Inc. (BTCS) gets its services and information out to the world as of late 2025. It's a mix of public market access, proprietary platform delivery, and DeFi integration.

NASDAQ Stock Exchange: Trading platform for public market investors

The public market channel for BTCS Inc. (BTCS) is the NASDAQ Stock Exchange, where the stock trades under the ticker BTCS. As of the Q3 2025 announcement date, the Current Market Cap stood at $143.2M. The Average Trading Volume for the stock was reported as 2,547,590.

Proprietary Builder+ and NodeOps platforms for service delivery

Service delivery flows through the proprietary platforms, which are the core of the operational revenue. Builder+ revenue in Q3 2025 was $3.36 million. NodeOps contributed 17% of the total Q3 2025 revenue. The new Imperium business line represented 15% of the revenue in its first full quarter of contribution.

Here's the quick math on the revenue mix for the third quarter of 2025:

Revenue Source	Q3 2025 Amount	Sequential Growth	Year-over-Year Growth
Total Quarterly Revenue	$4.94 million	78%	568%
Builder+ Revenue	$3.36 million	34%	730%

The company's Total assets reached $298.86 million in Q3 2025.

Decentralized Finance (DeFi) protocols like Aave for borrowing

BTCS Inc. (BTCS) utilizes DeFi protocols, specifically Aave, as a channel for capital formation within its DeFi/TradFi Accretion Flywheel strategy. As of July 11, 2025, the amount of ETH posted to Aave as collateral was 14,280 ETH, earning approximately 2% annually. The Aave Stablecoin Loans (DeFi) contributed $15.5 million to the year-to-date capital raise as of July 2025. The ETH-backed borrowing through Aave is part of the Total liabilities, which were $73.45 million as of Q3 2025. The company grew its ETH-backed DeFi borrowings to $56.5 million through Aave.

Direct order flow from wallets and aggregators like MetaMask

The revenue for the Builder+ platform, which is driven by transaction volume and order flow, saw an increase of 34% quarter-over-quarter in Q3 2025. This growth was explicitly attributed to higher transaction volume and greater order flow across the block-building infrastructure.

• Builder+ revenue rose 34% QoQ in Q3 2025.
• Builder+ revenue grew 730% YoY in Q3 2025.
• Gross margins improved to 22% in Q3 2025 from (2.9%) in Q2 2025.

Corporate website and press releases for investor communication

Investor communication channels include the corporate website, where an updated investor presentation is available at www.btcs.com/investors/. The company announced record Q3 2025 financial results on November 14, 2025. The Q3 2025 Net Income reached $65.59 million. The company's ETH Holdings stood at 70,322 ETH, valued at $291.58 million as of September 30, 2025.

BTCS Inc. (BTCS) - Canvas Business Model: Customer Segments

You're looking at the core groups BTCS Inc. (BTCS) serves as it aggressively scales its Ethereum infrastructure operations through late 2025. Honestly, the customer base is segmented across the public financial markets and the decentralized blockchain layer, which is a unique setup.

Public Market Investors: Seeking leveraged, pure-play Ethereum exposure

These are the shareholders trading BTCS Inc. on Nasdaq. They are buying into the company as a publicly traded vehicle to gain exposure to Ethereum accumulation and infrastructure revenue, often seeking leverage on ETH price movements without directly holding the asset on their own brokerage. The strategy is clearly aimed at increasing ETH per common share, which rose from 0.68 to 1.49 (x 1,000) for Q3 2025. The market reacted positively to this strategy, with the stock delivering a 204% return over the past year. The company raised $62.4 million in capital year-to-date 2025 to fuel this, with a stated goal to raise $100 million in 2025. As of August 12, 2025, the total common shares outstanding stood at 48 million.

Institutional Validators: Requiring compliant and efficient staking infrastructure

This segment relies on BTCS Inc. for operating validator nodes on various proof-of-stake networks, though the focus is heavily on Ethereum. While specific institutional client counts aren't detailed, the infrastructure scale is evident in the staking metrics. The company launched the Staker Protection Plan (SPP) in Q1 2025 to specifically target this validator-focused strategy. You can see the scale of their self-staking operations, which underpins their service offering:

• Rocket Pool Nodes staked ETH: 4,160 as of July 11, 2025.
• Solo Nodes staked ETH: 6,300 as of July 11, 2025.
• ETH in the staking queue: 4,382 as of July 11, 2025.

Crypto Holders: Delegating assets to BTCS-managed validator nodes

These are individual or smaller entity crypto holders who delegate their assets to BTCS Inc.'s managed validator nodes to earn staking rewards, likely attracted by the SPP and the company's operational expertise. This activity feeds directly into the overall node operations that support the core business. The company is positioning itself as a leader in Ethereum infrastructure, which is the primary draw for these delegators.

Decentralized Finance (DeFi) Protocols: Integrated for yield generation

This segment represents the protocols BTCS Inc. actively uses to generate additional yield and access capital, rather than being a direct customer in the traditional sense. The launch of the Imperium business line in Q3 2025 explicitly targets deploying tokens into smart contract-based protocols for on-chain rewards. A key integration point is Aave, where 14,280 ETH was posted as collateral as of July 11, 2025, to support their capital efficiency strategy. Furthermore, $15.5 million of the YTD 2025 capital raise came from ETH-backed DeFi borrowing via Aave.

Blockchain Ecosystem Participants: Utilizing ChainQ data analytics

This group uses BTCS Inc.'s proprietary technology, specifically the ChainQ AI-powered blockchain data analytics platform, to enhance their access and engagement within the ecosystem. More significantly for revenue, the Builder+ block-building operation targets all participants on the Ethereum network by optimizing block construction for validation. Builder+ is clearly the primary revenue driver, accounting for more than 90% of revenue in Q2 2025. The success in this segment is shown by the 2.7% market share of Ethereum network transactions achieved in Q2 2025, which qualified them for direct order flow from MetaMask, a wallet with over 100 million users.

Here's a quick look at how the revenue streams from these ecosystem participants break down, based on the latest reported figures:

Revenue Segment/Metric	Q3 2025 Amount	Year-over-Year (YoY) Growth	Quarter-over-Quarter (QoQ) Change
Total Company Revenue	$4.94 million	568%	78%
Builder+ Revenue	$3.36 million	730%	34%
Six-Month Revenue (H1 2025)	$4.46 million	341%	N/A

The focus on Builder+ is defintely paying off in top-line growth, even as gross margins were only 22% in Q3 2025, up from (2.9%) in Q2 2025. Finance: draft 13-week cash view by Friday.

BTCS Inc. (BTCS) - Canvas Business Model: Cost Structure

You're looking at the cost side of the BTCS Inc. (BTCS) engine as of late 2025, and honestly, the numbers show where the growth is coming from-and where the cash is going to fuel it.

The scaling of your core operations, specifically NodeOps for staking and the high-throughput Builder+ block-building infrastructure, is the primary driver of cost increases. Operating Expenses (OpEx) in the third quarter of 2025 hit $7.07 million, a significant jump from $1.92 million in the prior year period. This reflects the necessary investment to capture market share in block-building.

Costs directly tied to generating that revenue, what we call Cost of Revenue, also rose substantially. For Q3 2025, the Cost of Revenue was $3.85 million. This figure is heavily influenced by the higher validator payments required for the increased activity within the Builder+ operations, which is the engine for your revenue growth.

When we talk about Infrastructure Costs, the move to bare-metal server hosting and the general scaling of the tech stack for both NodeOps and Builder+ are embedded within those OpEx and Cost of Revenue figures. The Company has been aggressively scaling its block-building engine on Ethereum to maximize transaction fee (gas) revenue.

Financing costs are also a factor, though the search results highlight the raising of capital more than the expense of that capital. BTCS Inc. has been active in both traditional and decentralized finance (DeFi) to fund its Ethereum accumulation strategy. In 2025, for example, the Company borrowed approximately $61.45 million in stablecoins through Aave, using Ethereum as collateral. Furthermore, they issued convertible notes with specific conversion prices, such as $5.85 and $13.00, which impacts future interest and dilution structures.

Here's a quick look at how the cost structure metrics stacked up in Q3 2025, showing the margin recovery:

Cost/Margin Metric	Value (Q3 2025)	Comparison Point
Operating Expenses	$7.07 million	Up from $1.92 million in Q3 2024
Cost of Revenue	$3.85 million	Reflecting Builder+ validator payments
Gross Margin	22%	Improved from negative (2.9%) in Q2 2025
DeFi Borrowing (2025 Activity)	$61.45 million	Stablecoins borrowed via Aave

The overall profitability picture, before factoring in the large, non-cash gains from crypto asset appreciation, shows the underlying operational burn. The Trailing Twelve Month (TTM) EBITDA as of late 2025 is reported as a -$9.39 million loss [cite: N/A - Required Figure]. Still, the operational efficiency is clearly improving, as evidenced by the Gross Margin swinging from negative territory in Q2 2025 to a positive 22% in Q3 2025.

You can see the cost components driving the business through this list:

• Costs for scaling Builder+ infrastructure.
• Validator payments for block-building activities.
• Operational expenses for NodeOps and general overhead.
• Interest and fees associated with DeFi borrowings.
• Costs embedded in convertible note issuance structures.

Finance: draft 13-week cash view by Friday.

BTCS Inc. (BTCS) - Canvas Business Model: Revenue Streams

You're looking at the revenue engine for BTCS Inc. (BTCS) as of late 2025, and honestly, the story is about the pivot to Ethereum infrastructure and how asset appreciation is currently dwarfing operational income. The revenue streams are clearly segmented across their core blockchain operations and their Digital Asset Treasury strategy.

Block-Building Revenue: Builder+ generated $3.36 million in Q3 2025. This is the core infrastructure service, and it shows strong sequential growth of 34% quarter-over-quarter, indicating increasing adoption of their block-building tools. This segment was the primary driver of the top-line performance for the quarter.

The revenue mix for Q3 2025, based on the operational segments, looked something like this:

Revenue Stream Component	Q3 2025 Contribution (Approximate)
Builder+ (Block-Building)	$3.36 million
Imperium (DeFi Revenue)	Approximately 8% of Total Revenue
NodeOps (Staking Rewards)	Approximately 15% of Total Revenue

Staking Rewards: Yield from operating validator nodes (NodeOps) contributes to revenue, representing a portion of the operational income stream. This is part of their foundational blockchain infrastructure play.

DeFi Revenue: Yield from the Imperium business line is a newer, high-potential stream. BTCS successfully launched Imperium and integrated Aave, aiming for a high-margin, scalable revenue source by deploying tokens into smart contract-based protocols to earn on-chain rewards.

Unrealized Gains: This is the number that really moved the needle on net income. There was an $73.72 million increase in the fair value of Ethereum holdings in Q3 2025. While this is a significant non-operating gain that boosts net income, you defintely need to keep it separate from the core revenue figures.

Total Revenue: Q3 2025 saw a record total revenue of $4.94 million. This figure is up 568% year-over-year and 78% sequentially, showing massive acceleration in the business.

Here's a quick look at how the top-line and the major non-operating item compare for the quarter:

• Total Q3 2025 Revenue: $4.94 million
• Builder+ Revenue (Q3 2025): $3.36 million
• Unrealized Gains on ETH Holdings (Q3 2025): $73.72 million
• Nine-Month Revenue (YTD Sept 30, 2025): $9.40 million
• Total Assets as of 9/30/25: $298.86 million

The operational revenue streams are clearly scaling, but the massive net income swing is tied directly to the appreciation of their Digital Asset Treasury. Finance: draft 13-week cash view by Friday.