SharpLink Gaming, a Nasdaq-listed company, has made a record purchase of Ethereum worth $462 million, becoming the largest holder of ETH among public companies.
Record Purchase of Ethereum
SharpLink Gaming has announced the acquisition of 176,271 ETH for $462 million. With this move, the company now ranks first globally for ETH holdings among publicly traded firms.
Funding and Staking
The funding for this purchase was raised through private investment in public equity (PIPE) and an at-the-market (ATM) offering conducted from May 30 to June 12. Notably, over 95% of the company's ETH holdings are being staked.
Stock Fluctuations and Company Future
Following news of the S-3 registration indicating significant potential dilution in shares, SharpLink Gaming's stock price fell sharply, seeing a drop of 67%. The market reacted with concern; however, Consensys CEO Joseph Lubin stated that there would be no immediate selling to calm investors. Analyst Adam Cochran described the company as a 'cautious buy' at the current level.
SharpLink Gaming has solidified its position as the leading public holder of Ethereum. However, current stock price fluctuations and uncertainties in company management raise questions about its future.
