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- **Revenue & Profit Growth**: Q3 revenue surged 10x YoY to $10.8M, with net income of $104.3M driven by ETH appreciation and staking yields.
- **ETH Staking Leadership**: 100% of ETH portfolio staked, including $200M deployment on Consensys' Linea Layer 2 for enhanced risk-adjusted yields.
- **Institutional Adoption Momentum**: Ethereum dominates stablecoin (60%) and tokenized asset (80%) activity, with major banks and exchanges building on Ethereum.
- **Capital Efficiency**: Raised $76.5M at 12% premium to NAV, with plans to deploy $3B ETH portfolio in multiyear staking deals.
- **Upcoming Upgrades**: Fusaka upgrade to boost Layer 1 scalability, while Linea Layer 2 enables 100% Ethereum compatibility and transaction throughput growth.

**【Management Opening Remarks】**
- Joseph Lubin highlighted Ethereum's institutional adoption momentum, citing partnerships with JPMorgan, Swift, and DTCC, and emphasized SharpLink's unique competitive advantage through its strategic alliance with Consensys.
- Lubin underscored Ethereum's role as a 'trustware' platform, driven by its security, decentralization, and developer ecosystem, positioning ETH as the institutional-grade asset for the next-generation financial infrastructure.

**【CEO Commentary】**
- Joseph Chalom reported Q3 revenue of $10.8 million (10x YoY growth) and net income of $104.3 million, driven by ETH holdings appreciation and staking yields.
- SharpLink has staked nearly 100% of its ETH portfolio, achieving risk-adjusted yields through collaborations like the $200 million deployment on Consensys' Linea Layer 2 platform.
- The company doubled its ETH per share concentration from 2.0 to 4.0, and raised $76.5 million via a registered direct offering at a 12% premium to NAV.

**【CFO Financial Commentary】**
- As of Q3 end, SharpLink held 580,841 ETH (fair value $2.4B) and 236,906 LsETH (cost basis $622.7M), with total ETH equivalent of 861,251 as of November 9.
- GAAP net income of $104.3M reflected a $107.3M unrealized gain on ETH holdings and $6.3M realized gain from LsETH conversions.
- SG&A expenses rose to $12.4M (from $0.7M YoY), driven by scaling operations to manage the growing ETH portfolio.

**【Q&A Highlights】**
- **Ethereum Upgrades**: The Fusaka upgrade in December will enhance Layer 1 scalability, while Linea's zkEVM Layer 2 offers 100% Ethereum compatibility and enhanced transaction throughput.
- **Competitive Positioning**: Stablecoin and tokenized asset activity on Ethereum exceeds Solana by 10x, with 80% of real-world assets tokenized on Ethereum.
- **Capital Management**: The company plans to use its $3B ETH treasury to execute multiyear staking deals with enhanced yields, while maintaining flexibility to issue equity or buyback shares based on NAV multiples.
- **Agentic AI & x402**: Ethereum is uniquely positioned to support autonomous digital agents and microtransactions, further driving ETH utility and network effects.

SharpLink Gaming, Inc. (SBET) Q3 2025 Earnings Call Transcript

- **ETH Treasury Growth**: Acquired 700,000 ETH ($3.3B) in 11 weeks, with $6B ATM capacity for future raises.
- **Yield Strategy**: Targeting 3%+ yield through staking and DeFi, with ETH concentration as key metric.
- **Institutional Adoption**: Ethereum secures 60% of stablecoins, 83% of tokenized assets, and 72% of DeFi TVL, driving ETH's long-term growth.
- **Financial Highlights**: Q2 2025 net loss of $103.4M due to LsETH impairment, but $2.6B raised to date for ETH accumulation.
- **Strategic Partnerships**: Collaborating with Consensys, Galaxy, and ParaFi for institutional-grade treasury management.

**【CEO Summary Section】**
- SharpLink's mission is to become the world's largest and most trusted Ethereum (ETH) treasury company, leveraging Ethereum's role as the backbone of decentralized finance (DeFi) and digital assets.
- Ethereum's total value locked (TVL) in DeFi, stablecoins, and tokenized assets is projected to grow to $16 trillion by 2030, positioning ETH as a long-term growth asset with a 3% yield through staking.
- The company aims to benefit from institutional adoption of ETH, with U.S. Treasury Secretary Scott Bessent projecting stablecoin market cap to reach $2 trillion by 2028.

**【CFO Financial Commentary】**
- Q2 2025: Held 24,704 ETH ($61.5M) and 164,731 LsETH ($382.4M), with a $87.8M non-cash impairment loss on LsETH due to accounting rules.
- Revenue: $0.7M (down 30% YoY), Net Loss: $103.4M (driven by impairment and stock-based compensation).
- Cash on hand: $5.1M as of June 30, 2025.
- Since June 2 launch, raised $2.6B to acquire 700,000 ETH, with $6B ATM capacity for future capital raises.

**【Q&A Highlights】**
- **ETH Yield Strategy**: Focus on native staking, liquid staking, and DeFi yields, with a risk-managed approach to maximize compounding. ETH concentration (ETH per 1,000 shares) is the key metric.
- **Competitive Differentiation**: Strategic partnership with Consensys for institutional-grade treasury operations and access to Ethereum's ecosystem.
- **Valuation Outlook**: ETH price target of $15,000-$40,000 by 2028, driven by DeFi adoption and stablecoin growth on Ethereum.
- **Capital Raising**: Exploring equity-linked securities and preferred shares to optimize cost of capital, with no debt plans in the near term.
- **Affiliate Business**: Evolving to integrate blockchain technologies, exploring crypto-focused gaming platforms for new revenue streams.

SharpLink Gaming, Inc. (SBET) Q2 2025 Earnings Call Transcript

- **Triple-Digit Growth**: Q3 revenue surged 153% YoY to $3.3M, driven by M&A and affiliate marketing expansion.
- **Margin Expansion**: Gross profit margin jumped to 34.8% (vs. 14.5% in 2022), with $1.1M gross profit (505% YoY increase).
- **Fantasy Sports Dominance**: LeagueSafe generated $32M in entry fees (22% YoY growth), solidifying SportsHub's role in sports betting funnel.
- **Strategic Moves**: Launch of SharpLinkHQ to unify assets and redomestication to Delaware to reduce costs and regain Nasdaq compliance.
- **Cash Strength**: $49.3M cash on hand, up 25% YoY, supporting long-term growth initiatives.

**【CEO Summary Section】**
- SharpLink reported triple-digit revenue growth of 153% year-over-year for Q3 2023, driven by successful M&A activities (FourCubed and SportsHub mergers) and expansion of Affiliate Marketing Services.
- Gross profit margin expanded to 34.8% in Q3 2023 (vs. 14.5% in 2022), reflecting operational efficiency gains.
- Launched SharpLinkHQ to unify company assets, including fantasy sports, affiliate marketing, and free-to-play games, with cross-promotional opportunities.
- SportsHub's fantasy sports platform, LeagueSafe, generated $32M in entry fees (22% YoY growth) for 56,000 leagues in the 2023-24 NFL season.
- Company remains focused on long-term value creation despite market skepticism.

**【CFO Financial Commentary】**
- Q3 2023 Revenue: $3.3M (153% YoY growth), with SportsHub contributing $1.4M and Affiliate Marketing Services (U.S. & Intl.) driving 101% YoY growth.
- Gross Profit: $1.1M (505% YoY increase), with 34.8% margin vs. 14.5% in 2022.
- Operating Expenses: $3.6M (71% YoY increase) due to merger-related costs and business expansion.
- Net Loss: $2.9M ($0.99 per share) vs. $2.1M ($0.86 per share) in Q3 2022.
- Cash Position: $49.3M (up from $39.3M in Q4 2022), supported by fantasy sports fee collections.

**【Q&A Key Highlights】**
- No formal Q&A session; CEO emphasized shareholder vote needed for redomestication to Delaware to reduce corporate costs and regain Nasdaq compliance.
- Management reaffirmed confidence in execution despite U.S. sports betting market challenges.



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