SharpLink Gaming (SBET), a publicly-traded digital asset treasury firm headed by Ethereum co-founder Joseph Lubin, has reported its initial ether purchase since late August, during which it acquired over $75 million in tokens.
The company raised $76.5 million last week through a direct stock offering, using the proceeds to purchase 19,271 ETH at an average price of $3,892, as stated in a press release. Currently, the company holds 859,853 ETH, which is approximately valued at $3.5 billion when combined with its $36.4 million in cash and equivalents.
Following the announcement, Sharplink’s stock remained flat at around $14.70, down about 66% from July highs and nearly 90% lower than its peak in May after the firm revealed its crypto strategy shift.
This acquisition comes after a challenging period for corporate crypto treasuries, which have been striving to gather digital assets by raising funds through selling equity and debt. Once thriving on the hype, many of these businesses now face declining stock prices that are significantly below the value of the crypto assets they possess, hindering their capacity to finance their crypto acquisition plans.
Last month, SharpLink repurchased its common shares after its stock price fell below the net asset value of its ETH and cash reserves. The last disclosed ETH acquisition by the company occurred in the final week of August, where it acquired just over 39,000 tokens. Moreover, the firm has earned 5,671 ETH, nearing $22 million at current prices, through staking its holdings since June.
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