Ethereum News Today: SharpLink Boosts Share Offering to $6 Billion for Ethereum Purchases

SharpLink has significantly increased its share offering capacity, raising it from $1 billion to $6 billion. This move is aimed at funding more of its aggressive Ethereum (ETH) purchases. The company filed an updated prospectus with the US Securities and Exchange Commission on July 18, amending its previous registration from May 30. The latest filing allows SharpLink to sell up to $6 billion in common stock under its at-the-market (ATM) program, a substantial increase from the initial $1 billion.

So far, the company has sold approximately $720 million worth of shares under the earlier prospectus. With the amended agreement, SharpLink can now offer up to $5 billion more in shares. The filing also includes an amendment to the company’s sales agreement with A.G.P./Alliance Global Partners, permitting forward sales of its common stock. Compensation terms have been adjusted, with A.G.P. entitled to a 2.5% commission on the first $1 billion in sales, 2% on subsequent sales, and 4% for any forward transactions.

According to the prospectus, SharpLink plans to allocate most of the proceeds to acquiring Ether (ETH), while also reserving some capital for working capital, general corporate purposes, and operational expenses. The company’s strategy is to use ETH not just as a reserve asset but as working capital, with nearly all of its ETH staked to earn on-chain yield. This approach has drawn comparisons to institutional Bitcoin strategies seen in past years, but with a key difference: SharpLink uses Ethereum’s native staking mechanisms to compound returns while maintaining high exposure to the asset’s long-term growth.

SharpLink’s expanded fundraising push is expected to supercharge its Ethereum-focused treasury strategy. By increasing the share sale limit, the company now has more flexibility to purchase larger volumes of ETH in the coming months. Its treasury strategy seems to be aligned toward a long-term target of accumulating at least 1 million ETH in its balance sheet. If fully utilized at current prices, the new offering could give SharpLink control of nearly 1.38% of ETH’s circulating supply.

Since launching its treasury program in June, SharpLink has consistently increased its ETH holdings in strategic tranches. The firm has already added $515 million worth of ETH in the past nine days, including a single-day buy of over 32,000 ETH. As of July 16, SharpLink held more than 280,000 ETH, with 99.7% of it staked to earn on-chain yield. Its latest purchases came shortly after raising $413 million through its ATM program in early July. Between June 2 and July 15, the company generated 415 ETH in staking rewards, valued at roughly $1.49 million at the time of disclosure.

Despite the bullish sentiment in the crypto space regarding this move, shareholders have yet to reflect that optimism. SharpLink’s shares closed at $36.40 on July 17 before falling 4.95% to $34.60 in after-hours trading. However, this could change soon, given Ethereum’s strong performance over the past week, with the asset climbing more than 20% and breaking past key resistance levels. The company’s aggressive accumulation of ETH has positioned it as a significant player in the Ethereum ecosystem, with its strategy potentially influencing other companies to adopt similar ETH-centric reserve models.