GameSquare plans to build a $100M Ethereum treasury using phased investments and advanced yield strategies.
The company targets 8 to 14% returns from Ethereum far higher than typical staking yields.
GameSquare shares jumped over 58% after announcing the Ethereum treasury strategy to investors.
GameSquare Holdings has revealed a major shift in its financial strategy. The company will gradually build a $100 million Ethereum-based treasury. This plan begins with a stock sale of 8,421,054 shares, expected to raise around $8 million.
https://twitter.com/WuBlockchain/status/1942779078739911032
GameSquare's stock price jumped by 58.76% following the announcement. Investors responded strongly to the move into Ethereum. The company aims to achieve returns between 8% and 14%, higher than typical Ethereum staking yields.
Strategic Move to Digital Assets
This strategy reflects growing institutional interest in digital assets. GameSquare plans to use the Dialectic-backed Medici platform to manage Ethereum holdings. The platform applies automated risk tools and machine learning to enhance returns.
The company views Ethereum as a core treasury asset. By doing so, it aligns itself with other institutions entering decentralized finance (DeFi). GameSquare also intends to explore additional ETH purchases and possible stock repurchases.
Ethereum Performance Supports Strategy
Ethereum is currently trading at $2,609, with a market cap of $314.54 billion. Over the last 90 days, its price has risen nearly 60%. These figures support GameSquare’s decision to move into ETH-based assets.
Ethereum has illustrated a better performance compared to other digital assets during this time period. This is what makes it a favorite option among companies that want something with a better yield than treasury management.
Yield Target Signals Confidence in DeFi
The company targets returns far above average staking yields. Traditional ETH staking returns range from 3% to 4%. GameSquare’s target of 8% to 14% shows a confident approach. It seeks yield from more active participation in DeFi protocols.
These protocols include Ethereum-based stablecoins and digital collectibles. GameSquare's risk-managed model may attract more firms into similar treasury strategies.
Institutional Interest Continues to Grow
GameSquare’s move mirrors trends seen across the financial sector. Firms like Bit Digital and GameStop have also entered the crypto market. Institutions are no longer cautious observers. They are becoming active players in blockchain and DeFi systems.
This shift is driving increased activity across Ethereum’s network. Rising prices and market cap suggest Ethereum continues to gain trust as an asset.
GameSquare’s phased investment marks a clear pivot. The company is positioning itself at the center of institutional crypto adoption. Its use of advanced tools to manage ETH assets signals a strategic bet on digital finance.
