Sharplink Gaming's stock is experiencing a significant surge, climbing over 400% on Tuesday, May 27, 2025, following the announcement of a $425 million private investment in public equity (PIPE) offering. This investment is geared towards establishing an Ethereum treasury for the online gambling marketer. The financing, structured as a PIPE, involves the sale of 69.1 million shares at $6.15 each.
The investment is led by Consensys, with participation from Galaxy Digital, ParaFi Capital, Ondo, and Pantera Capital. Proceeds will be used to acquire Ethereum, mirroring strategies seen with Bitcoin. Joseph Lubin, CEO of Consensys and co-founder of Ethereum, is expected to become the chairman of Sharplink Gaming's board upon the deal's closing, anticipated around May 29, 2025.
This strategic move reflects a growing trend among companies to incorporate cryptocurrency-centered strategies. The company plans to use funds for general corporate purposes and working capital needs. Currently, SBET is trading at $35.83, up by 433.18 percent on the Nasdaq.