SharpLink Gaming's stock surges as the company increases its Ethereum holdings to $527 million

Shares of #SharpLinkGaming (NASDAQ: SBET) rose nearly 26% after the company announced it continued to purchase Ethereum (ETH), raising its total ETH holdings to 205,634 ETH, worth over $527 million. This makes SharpLink the world's largest publicly traded company using Ethereum as its primary reserve asset in its treasury.

Ethereum-based treasury strategy

SharpLink Gaming, a gaming marketing company, has purchased an additional 7,689 $ETH at an average price of $2,501/ETH from June 28 to July 4. The company began buying ETH in May, following the model of Strategy (formerly MicroStrategy) – a company that has accumulated Bitcoin to increase value for shareholders.

Joe Lubin, Chairman of the Board of SharpLink, co-founder of Ethereum and CEO of Consensys, stated that this strategy aims to "maximize long-term value for shareholders" and "set a new standard for responsible digital asset management in today's public markets." SharpLink has also introduced a new metric called "ETH Concentration" to enhance transparency regarding the stock's exposure to ETH. All of SharpLink's ETH is committed to staking and restaking protocols to optimize profits.

The trend of Nasdaq-listed companies incorporating cryptocurrency into their balance sheets is increasing, with many smaller companies also purchasing assets such as Bitcoin, Ethereum, Solana, and $XRP , often achieving significant short-term stock price increases.

Source: #Decrypt