SharpLink Gaming is doubling down on its crypto ambitions with a bold plan to raise up to $1 billion through a massive stock offering all of which the company intends to use to buy Ethereum (ETH). The move, disclosed in a new SEC filing, represents one of the largest Ethereum treasury strategies ever announced by a publicly listed company.
$1B in Shares to Fund Ethereum Accumulation
According to the filing, SharpLink Gaming will issue up to 72.05 million shares of common stock under the symbol SBET. The company has priced 12.6 million shares at $79.21 each, as per Nasdaq’s registered sale price on May 29. The exact number of shares and the total amount raised will ultimately depend on market conditions and investor demand.
Notably, the company has explicitly stated that “substantially all of the proceeds” from the offering will be used to acquire Ethereum.
“We intend to use substantially all of the proceeds from this offering to acquire Ether, the native cryptocurrency of the Ethereum blockchain commonly referred to as ‘ETH,’” the filing reads.
If the offering is fully subscribed, the company could potentially acquire around 400,000 ETH, based on current market prices of approximately $2,484 per ETH.
Inspired by Michael Saylor’s Bitcoin Strategy?
SharpLink’s aggressive pivot into Ethereum has drawn comparisons to Michael Saylor’s MicroStrategy, which famously adopted Bitcoin as its primary treasury asset. While MicroStrategy’s BTC strategy ignited a wave of institutional Bitcoin adoption, SharpLink aims to do the same with Ethereum making it one of the few public companies to take such a large-scale ETH position.
SharpLink began signaling its ETH-focused strategy in late May when it raised $425 million in private placement funding for the same purpose. At the time, the company’s stock soared by 420% in pre-market trading, jumping from $6.72 to $34.75.
On May 27, the firm formally announced it would adopt Ethereum as its primary treasury reserve and named Ethereum co-founder Joseph Lubin as Chairman of its board.
Stock Reaction: From Surge to Slump
Despite the ambitious strategy, the market’s response to the latest $1B offering was less enthusiastic. SharpLink’s shares dropped 24% in pre-market trading on June 2, falling from $76.70 to $58.15.
This stands in sharp contrast to the euphoric reaction following the $425M announcement, suggesting investor caution over potential dilution or uncertainty around crypto market volatility.
Ethereum as a Corporate Treasury Asset: A Growing Trend?
While Ethereum-based corporate treasury strategies are still rare compared to Bitcoin, they’re gaining traction. French real estate firm Entreparticuliers made headlines recently by announcing ETH accumulation on May 19, leading to an 800% surge in its stock over five days.
These moves highlight growing institutional interest in Ethereum’s ecosystem, particularly as it continues to evolve with new Layer 2 scaling and DeFi integrations.
