Verb Technology Inc. raised $558 million to become the largest public holder of Toncoin, shifting from its traditional direction.
Fundraising and Strategic Shift
On August 4, Verb Technology Company Inc. announced it had secured approximately $558 million through an upsized and oversubscribed private placement. This deal will enable the company to establish a treasury strategy for Toncoin. The PIPE offering, led by Kingsway Capital and backed by over 110 institutional investors, including Blockchain.com and Ribbit Capital, resulted in a 100% surge in VERB shares.
Ideas Behind the Deal
Verb Technology's shift towards Toncoin is seen as a strategic reinvention. The $558 million raised will be directed mainly toward acquiring Toncoin, transforming the company into a public fund for one of the fastest-growing blockchains. Notably, earlier this year, Telegram appointed TON as its exclusive blockchain, significantly enhancing the token's importance in the digital asset context.
New Leadership and Company Objectives
Upon closing the deal, the soon-to-be-renamed TON Strategy Co. plans to generate returns through staking its assets. With Manuel Stotz, President of the TON Foundation, as Executive Chairman and Veronika Kapustina, previously a senior advisor to the TON Foundation, as CEO, the team aims to focus on long-term investments in TON assets.
Verb Technology's move towards Toncoin highlights the increasing interest of institutional investors in cryptocurrencies and the opportunities presented by the TON ecosystem.
