Simply put
- Sharplink Gaming is looking to secure an additional $400 million to enhance its Ethereum holdings.
- The company had raised approximately $900 million last week for its Corporate Treasury Department.
- Analysts from Standard Chartered suggest that financing for Ethereum firms is increasing, forecasting that these companies could distribute around 10% of all ETH.
Sharplink Gaming aims to raise another $400 million to grow its Ethereum Treasury, projecting that its total assets in ETH could surpass $3 billion soon.
As per the company’s announcement, it plans to offer shares at $21.76 each to five global institutional investors.
If all conditions are fulfilled, sales are expected to finalize on Tuesday, August 12th.
“The rapid and substantial nature of these investments demonstrates not only investor faith in Sharplink but also the increasing recognition of Ethereum’s transformative capabilities,” said Sharplink co-CEO Joseph Chalom, who mentioned that nearly $900 million was raised over the past week.
Sharplink Gaming (SBET) shares saw a significant rollercoaster, starting around $24, peaking at $28, and eventually closing at over $22.34 with a trading increase of more than 6.6%.
Nonetheless, the stock saw a 17% rise over the previous week.
The company’s fundraising effort comes amid a spike in the price of Ethereum, coinciding with the expansion of its Ethereum Treasury.
Publicly traded entities like Bitmine, Ethermachine, and Bit Digital are collectively holding billions in Ethereum.
A Standard Chartered analyst noted that these holdings might soon constitute 10% of the Ethereum market.
Currently, Ethereum is trading at $4,220, having risen 13.5% in a week and over 43% in the last month. It is now merely 13% off its all-time high price of $4,8781, according to Goingecko data.
This latest uptick follows a challenging two-year stretch during which tokens struggled despite general improvements in the cryptocurrency market.
About 75% of crypto-based users believe that Ethereum will set new highs by year’s end.
Sharplink’s current fundraising is part of its strategy to accumulate 1% of Ethereum’s overall supply, which translates to over 1.2 million ETH at this moment.
According to the most recent figures, the Ethereum Finance Company held 598,800 ETH as of August 10th, valued at over $2.5 billion according to Coingecko.
