SharpLink Stock Rallies, Sees Ethereum Holdings Topping $3 Billion
Posted on: August 11, 2025, 11:36h.
Last updated on: August 11, 2025, 11:51h.
- Shares surge after company says its Ethereum holdings will exceed $3 billion
- SharpLink says it reached securities purchase agreements with investors that could fund purchases of the cryptocurrency
SharpLink Gaming (NASDAQ: SBET) stock soared Monday after the company told investors it reached securities purchase agreements with five global institutional investors totaling $400 million, proceeds of which could be used to boost the firm’s Ethereum holdings to $3 billion.
Already the largest corporate owner of the second-biggest cryptocurrency, SharpLink Gaming said the accords with the unidentified investors were priced at $21.76 per share and will result in gross proceeds of $400 million before commissions and expenses are deducted. The offering is scheduled to close on Tuesday, August 12.
That news, coupled with Ether’s recent ascent, which has seen the digital currency gain 18.51% over the past week, carrying it past $4,300, is among the reasons why SharpLink stock is higher by almost 10% in midday trading on volume that’s already exceeded the daily average.
Professional investors who are among SharpLink’s largest shareholders include BIT Capital, Thames Capital, Two Sigma Securities, State Street, UBS, and Lazard, among others, but it’s not clear if any of those firms are participating in the aforementioned agreements.
SharpLink on Capital-Raising Binge
Much like Michael Saylor’s Strategy (NASDAQ: MSTR), which is now the world’s largest corporate owner of Bitcoin, SharpLink Gaming has been raising capital at a rapid pace of late to fund Ether purchases.
Raising nearly $900 million in capital over the past week underscores the market’s confidence in SharpLink’s ETH treasury strategy,” said co-CEO Joseph Chalom in a statement. “The speed and scale of these investments reflect not only investor trust in SharpLink, but also the growing recognition of Ethereum’s transformative potential.”
Last week, Minnesota-based SharpLink, which provides affiliate management services in the iGaming and online sports betting industries, raised $200 million in a share sale to four unidentified institutional investors, and those proceeds remain at the company’s disposal. That offering was priced at $19.50 per share, implying those investors are likely happy today because SharpLink stock is flirting with $26 at this writing.
During the week of July 21–25, SharpLink raised $279.2 million, allowing it to buy 77,209.58 ETH, boosting its holdings of the cryptocurrency to 438,190. Those purchases are now profitable because they were conducted at an average buying price of $3,756 while Ether trades around $4,325 today.
SharpLink Stock Trades at Premium to Ether Holdings
Arguably, there are two risky elements associated with SharpLink stock. First, it’s now highly tethered to Ether’s price action. Second, it trades at a premium to the value of its holdings of the digital currency.
In Monday’s press release, the company says its Ether holdings “are expected to exceed $3 billion in value,” but its market capitalization is $3.33 billion today, implying investors believe the price of Ether will continue appreciating.
That premium isn’t surprising. It’s the scenario that’s played out with Strategy and Bitcoin. As Strategy has done previously, SharpLink can use the premium to its advantage by selling securities at a price favorable for it to buy more Ether, potentially powering the stock higher in the process.
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