Solana's Wild 24 Hours: Massive Rewards, NYC Token Volatility, and More

American Strategic Investment Co (NYC) released Q3 2025 financial results on January 13, 2026, showing $12.3 million in revenue and a $35.8 million GAAP net gain, reversing a $34.5 million loss from the previous period. The company announced the planned sale of two properties, 123 Williams Street and 196 Orchard, to retire debt and reinvest in higher-yielding assets. Additionally, the strategic disposition of 1140 Avenue of the Americas is expected to eliminate a $99 million liability maturing in July 2026.

The company's stock price increased by 3% to $8 on the day of the announcement, with analysts suggesting it might be undervalued relative to fair value estimates. The CEO and CFO emphasized ongoing efforts to reduce professional fees and unlock value in the current asset portfolio.

A newly launched Solana privacy app, SHDW, faced criticism for locking user funds without withdrawal tools. The app, launched on January 12, 2026, was expected to offer privacy features for Solana users, but early users reported being unable to retrieve deposited funds. SHDW also lacked functional customer support, despite having a contact form. This has raised concerns about the legitimacy and operational transparency of the project.

Why Did This Happen?

American Strategic Investment Co (NYC) has faced financial challenges in recent quarters, with declining revenue and negative net gains reported in earlier periods. The strategic sale of properties aims to strengthen the company's financial position and focus on high-yielding investments. The reported GAAP net gain in Q3 2025 reflects a turnaround in performance compared to the $34.5 million loss in the previous quarter.

SHDW's launch coincided with Solana's Privacy Hackathon, which runs until January 30, 2026. The event promotes privacy-focused applications and offers a $100,000 prize pool. SHDW was heavily promoted by influencers, but the lack of operational features like the unshielding button has led to skepticism among users and raised concerns about the app's credibility.

How Did Markets React?

The market reaction to American Strategic Investment's Q3 2025 results was positive, with the stock price rising 3%. Analysts noted that the reported results suggested a potential undervaluation, given the company's strategic initiatives and financial turnaround. The market is likely evaluating the long-term impact of the asset sales and debt reduction plans on the company's performance.

Solana's market price showed volatility, reaching $144 before dropping to $139 on January 13, 2026. The Privacy Hackathon contributed to short-term price fluctuations, as investors reacted to new developments in Solana's privacy ecosystem. The hackathon aims to attract developers and promote innovation in privacy-focused applications.

What Are Analysts Watching Next?

Analysts are closely monitoring the outcomes of American Strategic Investment's asset sales and their impact on the company's balance sheet. The planned disposition of the 1140 Avenue of the Americas property is expected to eliminate a significant liability, which could improve the company's financial flexibility. The success of the company's reinvestment strategy in high-yielding assets will be critical for long-term performance.

In the crypto space, the Solana Policy Institute is advocating for regulatory clarity from the SEC, arguing that non-custodial DeFi developers should not face the same regulatory risks as centralized exchanges. The SEC's current framework, designed for centralized markets, may not be suitable for decentralized systems. The Institute's request for an exemption could influence the regulatory landscape for DeFi and shape future policy decisions.

Investor sentiment toward Solana and other altcoins is shifting as market dynamics evolve. The increased interest in privacy-focused applications and the ongoing Privacy Hackathon are likely to drive further price action in the short term. Long-term investors are likely evaluating the sustainability of these developments and the potential for broader adoption of privacy features in the crypto ecosystem.

SHDW's issues highlight the risks associated with early-stage crypto projects, particularly those lacking transparent governance and operational functionality. Investors are likely assessing the broader implications of such risks on the Solana ecosystem and the viability of privacy-focused applications.

The Solana network's addition of ZCash as a privacy feature has also drawn attention. The OmniBridge has enabled the creation of tokenized ZEC on the Solana network, expanding the platform's privacy capabilities. The success of these initiatives will depend on user adoption and the effectiveness of privacy solutions in meeting market demands.