Sharplink Pockets $33M from Ether Staking, Deploys Another $170M ETH

Corporate crypto treasuries are increasingly using ether staking to generate recurring yield from onchain operations. Sharplink Gaming, the second-largest corporate Ethereum (ETH) holder, earned $33 million in passive staking rewards over the past seven months. The firm has also deployed an additional $170 million in ETH to Linea for restaking opportunities.

This strategy is part of a broader trend among public companies and crypto-focused treasuries, which are treating staking as a source of passive income. Sharplink said the staking activity added about $1.4 million in value to shareholders in the past week, reinforcing its commitment to fully staking its ETH holdings.

The deployment of $170 million in ETH to Linea marks the latest step in Sharplink's multi-year initiative to optimize yield from its large ETH holdings. The firm uses institutional-grade custody services from Anchorage Digital Bank, ensuring the security and compliance of the operation.

What Drives the Growth in Ether Staking?

The rise in corporate staking is driven by the increasing appeal of Ethereum's yield-generating mechanisms. Staking allows investors to earn passive income by committing tokens to secure proof-of-stake networks. For firms like Sharplink, this provides a consistent and scalable source of revenue.

Linea and related protocols like EigenCloud and ether.fi offer additional restaking incentives, creating a layered revenue stream. This structure allows capital to remain productive across multiple protocols while staying within a regulated custody framework.

Institutional-grade custodians like Anchorage play a crucial role in securing these assets. They provide the necessary infrastructure for firms to engage in onchain operations without exposing themselves to the risks of direct wallet management.

How Do Markets Respond to These Staking Strategies?

The market has reacted positively to Sharplink's staking initiatives. The firm's shares closed up 1.38% on Thursday, and the stock has risen 12.6% over the past five days. This suggests that investors view staking and yield optimization as positive for shareholder value.

Similar strategies are being adopted by other major players in the crypto space. Bitmine has also expanded its staking operations, staking over 1.03 million ETH worth about $3.2 billion. This trend indicates that institutional capital is increasingly allocating to Ethereum-based staking and DeFi strategies.

What Are Analysts Watching for Next?

Analysts are closely watching how these staking strategies evolve, particularly in terms of scalability and compliance. The deployment of large amounts of ETH into staking and restaking structures raises questions about liquidity and exposure to market volatility.

Regulators are also paying attention. In South Korea, the Supreme Court recently ruled that exchange-held Bitcoin can be directly frozen and seized in criminal cases. This highlights the growing regulatory focus on crypto assets and the need for robust compliance frameworks.

The success of these strategies will depend on how well they can balance yield generation with risk management. Firms like Sharplink are working to integrate institutional-grade infrastructure with onchain productivity, setting a potential blueprint for future deployments.

At the same time, the broader market is moving toward more structured and regulated products. Grayscale recently announced its first staking payout from a US-listed spot crypto product, distributing $0.083178 per share to shareholders. This marks a significant shift in how crypto assets are treated in the public market.

The continued growth in corporate staking activity suggests that Ethereum is becoming a core asset for institutional investors. As more firms adopt these strategies, the demand for sophisticated staking and restaking infrastructure is expected to rise, potentially reshaping the broader DeFi landscape.