Publicly listed betting firm SharpLink Gaming made a huge strategic play on May 27 when it announced it would roll out a $425 million Ethereum treasury program. In support of the move, the company hired Ethereum co-founder and Consensys CEO Joseph Lubin as the new chairman of its board of directors.
The first-of-its-kind creation places SharpLink at the forefront of a new trend of corporations moving into blockchain-native treasury strategies.
Top Web3 Supporters Take Part in Private Equity Transaction
SharpLink completed a private investment in public equity (PIPE) transaction valued at $425 million. Blockbuster stakeholders include blockchain-oriented venture capital firms such as Consensys, ParaFi Capital, Electric Capital, Pantera Capital, Galaxy Digital, and Arrington Capital.
Consensys, the Ethereum-infrastructure firm led by Lubin, also confirmed its participation but wouldn’t comment further until the deal closes. The transaction is set to close around May 29, subject to normal closing conditions.
Lubin to Guide Ethereum Treasury Strategy
Joseph Lubin’s appointment as chairman will be strategic alignment with Ethereum’s broader ecosystem. Consensys will work with SharpLink to support the treasury effort and its core business, Lubin said.
In a statement, Consensys is eager to work with SharpLink to explore and establish an Ethereum Treasury Strategy,” Lubin added.
Stock Rises Following News
Following the news, SharpLink stock rose by approximately 400%, reaching nearly $33.50 per share. It had closed below $7 yesterday and opened higher than $30 on May 27.
Ether Will Function as Large Treasury Reserve Asset
SharpLink intends to leverage the money to implement its Ethereum treasury and for general corporate functions such as operational spending. The company revealed Ether (ETH) would be used as its primary treasury reserve asset, a noteworthy deviation from the corporate reserve standard of holding Bitcoin.
Corporate Crypto Treasuries Move Towards ETH
While business crypto treasuries previously have been heavily weighted toward Bitcoin, SharpLink is among a small but growing number that are moving toward Ether. Others are BTCS, which raised $57.8 million to use to buy Ether, and Reddit, which previously had Ethereum before it sold most of its cryptocurrency in 2024.
Even after previous company exits such as Meitu and Boyaa Interactive, SharpLink’s ETH-focused pivot—spurred by Ethereum-native venture capitalists—may indicate increased optimism on Ether as a long-term corporate store of value.
