SharpLink launches Ethereum treasury, taps Joe Lubin as board chair
Betting platform SharpLink Gaming has launched an Ethereum-based corporate treasury strategy and nominated Ethereum co-founder Joseph Lubin as chairman of its board of directors, the company announced May 27.According to...
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Betting platform SharpLink Gaming has launched an Ethereum-based corporate treasury strategy and nominated Ethereum co-founder Joseph Lubin as chairman of its board of directors, the company announced May 27.
According to the announcement, SharpLink Gaming, a publicly traded company on Nasdaq, entered into a securities purchase agreement for a private investment in public equity worth $425 million. Ethereum infrastructure firm Consensys was among the investors.
“On close, Consensys looks forward to partnering with SharpLink to explore and develop an Ethereum Treasury Strategy and to work with them in their core business as a strategic advisor,” Consensys founder and CEO Lubin said.
SharpLink Gaming’s stock is up approximately 400% at the time of writing, changing hands at nearly $33.50. Trading today started at over $30 after closing under $7 the day before.
SharpLink Gaming stock price chart. Source: Google FinanceA Consensys representative told Cointelegraph that the company will not comment further until the deal is closed. Still, they confirmed Consensys’ investment in SharpLink Gaming.
Related: Bitcoin treasury companies will hold 'way more' than Bitcoiners expect: Exec
Major investors took part in the dealAlongside Consensys, the investors include venture capital firms ParaFi Capital, Electric Capital, Pantera Capital, Arrington Capital, Galaxy Digital, Ondo, White Star Capital, GSR, Hivemind Capital, Hypersphere and Primitive Ventures. SharpLink CEO Rob Phythian and the firm’s CEO Robert DeLucia also participated.
The deal is expected to close “on or about May 29” if the customary closing conditions are satisfied. SharpLink Gaming intends to use the newly raised funds to jumpstart its Ether (ETH) treasury and for other general corporate purposes:
“ETH will serve as the Company’s primary treasury reserve asset.”Related: Trump Media Group denies it’s raising $3B for crypto buys: Report
The rise of corporate crypto treasuriesCorporate crypto treasuries are on the rise, but most of them are focused on Bitcoin (BTC). One exception was Meitu, the developer of popular Photoshop-like apps, but the company liquidated its 940 Bitcoin and 31,000 Ether at the end of last year.
Other notable examples include the Canadian subsidiary of Big Four auditor KPMG adding Ether to its treasury alongside Bitcoin in February 2022. Also, Hong Kong-based gaming firm Boyaa Interactive International held ETH, but at the end of 2024, it replaced Ether with Bitcoin.
Social media giant Reddit also acquired both Bitcoin and Ethereum, but the company was reported to have offloaded most of its holdings in late 2024. Publicly traded company BTCS also announced a $57.8 million financing agreement to purchase Ether earlier this month.
Magazine: Bitcoin bears eye $69K, CZ denies WLF ‘fixer’ rumors: Hodler’s Digest, May 18 – 24
Why this matters
This ethereum story adds another data point to the current market tape and is useful when read alongside nearby source coverage.
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