Ethereum News Today: SharpLink Authorizes $1.5B Buyback Funded by Ethereum Treasury

SharpLink Gaming has authorized a $1.5 billion stock buyback program, funding it from its Ethereum-based corporate treasury, in a strategic move to reinforce its position as one of the largest institutional holders of Ether [1]. The buyback will not be executed immediately but will act as a "reserve tool" to be deployed when the company’s stock price falls below the net asset value (NAV) of its Ether holdings. Co-CEO Joseph Chalom stated that this mechanism allows the firm to “strike when opportunities arise,” aligning with its long-term vision to enhance the ETH-per-share ratio while rewarding investors [1].

The initiative builds on the company’s recent transformation from a traditional betting platform into a corporate entity deeply embedded in the Ethereum ecosystem. Earlier this year, SharpLink appointed Ethereum co-founder Joseph Lubin as chairman, a decision signaling the company’s long-term commitment to Ethereum’s development [1]. Lubin has publicly emphasized the role of corporate Ethereum treasuries in stabilizing the network’s supply and demand dynamics [1].

Currently, SharpLink holds 740,800 Ether, valued at approximately $3.14 billion, making it the second-largest corporate holder of the asset after BitMine, which possesses 1.5 million Ether valued at $6.47 billion [1]. The firm has also seen substantial unrealized gains from its holdings, with nearly $600 million in paper profits following recent Ether price appreciation [1]. This financial position gives the company the flexibility to pursue aggressive buybacks and accumulation strategies without overexposure to short-term market volatility.

What sets SharpLink apart is its integration of Ethereum into corporate finance. By linking shareholder returns to Ether’s performance, the firm is essentially betting that the cryptocurrency will function as a reserve asset while also driving equity value [1]. Analysts have noted that executing the buyback at a discount to NAV could generate significant value for shareholders [2]. Shares rose 5.27% in pre-market trading after the announcement [3].

The company’s strategy aligns with a broader trend among institutional investors who are increasingly using Ethereum as a corporate treasury asset. SharpLink’s actions are seen as a demonstration of confidence in both its business model and Ether’s long-term prospects [1]. As it continues to execute its buyback and staking plans, the company aims to set a precedent for how firms can combine traditional financial tools with crypto-native assets.

SharpLink Gaming’s approach reflects a new kind of corporate balance sheet—one where digital assets are not just a speculative investment, but a core component of financial strategy. The firm’s success in leveraging its Ethereum holdings for shareholder returns could influence other companies considering similar models in the evolving landscape of institutional crypto adoption.

Source: [1] SharpLink to Concentrate ETH with $1.5B Stock Buyback (https://cointelegraph.com/news/ether-top-corporate-treasury-sharplink-authorizes-1-5b-stock-buyback)

[2] SharpLink Gaming approves $1.5B buyback backed by ... (https://www.mitrade.com/insights/news/live-news/article-3-1062835-20250823)

[3] SharpLink Gaming announces up to $1.5 B share buyback ... (https://seekingalpha.com/news/4488279-sharplink-gaming-announces-up-to-15b-share-buyback-program)