Ethereum News Today: SharpLink Gaming Plans $5 Billion Stock Sale to Boost Ethereum Holdings by 1.38%

SharpLink Gaming, a company backed by Ethereum co-founder Joseph Lubin, has filed a prospectus supplement with the U.S. Securities and Exchange Commission (SEC) outlining plans to raise an additional $5 billion through stock sales. The primary goal of this fundraising effort is to significantly increase the company's Ethereum holdings, with nearly all of the proceeds earmarked for purchasing the cryptocurrency.

Over the past nine days, SharpLink has already acquired more than $500 million worth of Ethereum, reinforcing its position as one of the largest corporate holders of the digital asset. The company's aggressive buying spree includes a recent purchase of 32,892 ETH worth $118.8 million on July 17, further solidifying its stance in the Ethereum ecosystem.

SharpLink's strategy involves using Ethereum as the foundation of its treasury strategy, aiming to control up to 1.38% of the current circulating supply of Ethereum. The company currently holds over 280,000 ETH in its reserves, with 99.7% of these holdings staked. This strategic move is designed to maximize returns through staking rewards and capitalize on the potential growth of Ethereum in the market.

Despite the optimism surrounding Ethereum and SharpLink's aggressive investment strategy, the company's shares have experienced volatility. Following the announcement of increased Ethereum purchases, SharpLink's shares fell by more than 10%. However, the company's securities have shown significant growth since the start of 2025, with a 374% increase, although they are still down 54% from their May high.

SharpLink's decision to raise funds through stock sales is part of a broader strategy to become the largest corporate holder of Ethereum. By increasing its equity offering from $1 billion to $6 billion, the company aims to acquire more Ethereum and further solidify its position in the cryptocurrency market. This strategic move is central to the firm's plan to expand its Ethereum holdings and capitalize on the growing interest in cryptocurrencies.

The company's amendment to its sales agreement allows for forward sales, providing more flexibility in raising funds over time. This approach is designed to take advantage of the potential appreciation in the value of Ethereum, while also generating staking rewards to enhance financial performance. SharpLink's aggressive investment in Ethereum underscores its commitment to the digital asset and its belief in the cryptocurrency's long-term potential.