SharpLink Gaming Increases Ethereum Holdings to Over $527M
Stock (NASDAQ: SBET) saw a significant rise Tuesday after the company announced acquiring 7,689 Ethereum coins at an average price of $2,501 per coin, bringing its total holdings to 205,634 ETH, valued at approximately $527 million.
The stock price climbed nearly 26% on Tuesday amid reports that the company utilized its At-The-Market (ATM) facility to raise an additional $64.2 million during the period of purchase.
“By continually refining our treasury strategy and deploying new transparency metrics like ETH Concentration, we’re not only maximizing shareholder value but establish a benchmark for responsible digital asset management,” commented Joe Lubin, Chairman and Ethereum co-founder, speaking to the company’s approach of maintaining a treasury funded by crypto assets as shareholders gained value from crypto price appreciation.
SharpLink, which initiated its ETH purchases in May, is following the strategy of companies like MicroStrategy (who purchase Bitcoin), transitioning from the Bitcoin model to an Ethereum focus. Other Nasdaq firms have increasingly adopted similar crypto asset treasury strategies, often resulting in stock price increases.
The total value represented by SharpLink’s ETH holdings now exceeds stock price gains its crypto treasury activity, though market interpretation varies around this. The crypto market has experienced a slight recent uptick but remains significantly below historical peaks.
Background & Context
- Transactions: Acquired ~7,689 ETH (pricing ~$2,501) between June 28 and July 4, remarketing range.
- Balances: Now holds ~205,634 ETH, valued ~$527M.
- Innovations: Company introduced “ETH Concentration” metric to measure exposure.
- Company: NASDAQ-listed provider of technology and services primarily to the global gaming sector.
- Inspiration: Following the success of MicroStrategy, which obtained 597K BTC worth $65B.
Key Players & Metrics
- Last ETH Price: Trading around $2,565 per coin.
- Digital Markets: Crypto transactions referenced via Twitter link (tweet discussing purchase/meta).
