SharpLink Gaming has reported a significant acquisition of Ether, making it the largest public holder of this cryptocurrency.
Deal Details
SharpLink Gaming acquired 176,271 Ether for $463 million. The purchase was financed through a combination of private placement and at-the-market equity sales. The average acquisition price was $2,626 per coin.
SharpLink's Ether Strategy
More than 95% of the acquired Ether is now deployed in staking and liquid staking platforms, earning yield. CEO Rob Phythian noted that ETH is now treated as the company's primary treasury reserve asset.
Controversies Surrounding the Strategy
SharpLink's Ether strategy sparked some controversy after a spike in the company's share price. Following a misunderstanding about a filing, shares fell by 73% in after-hours trading. Chairman Joseph Lubin clarified that this was a routine regulatory procedure.
The acquisition by SharpLink Gaming highlights the growing trend of institutional adoption of cryptocurrencies and the strategic use of digital assets in business.
