SharpLink Gaming makes history with $463M Ethereum purchase, becomes top ETH holder

SharpLink Gaming (NASDAQ: SBET) has solidified its position as the largest publicly traded holder of Ethereum (ETH) after acquiring a staggering 176,271 ETH worth $463 million.

The sports betting and iGaming leader announced the purchase on Friday, funded through private placements and equity sales, marking a pivotal shift in corporate crypto adoption.

SharpLink Gaming’s bold Ethereum bet

The acquisition, averaging $2,626 per ETH, positions SharpLink as the first Nasdaq-listed company to adopt Ethereum as its primary treasury reserve asset. Over 95% of its ETH holdings are now deployed in staking and liquid staking protocols, generating passive yield while supporting Ethereum’s network security.

Rob Phythian, CEO of SharpLink Gaming, called the move a “landmark moment” for both the company and institutional crypto adoption.

“We believe Ethereum represents a transformative store of value and a critical infrastructure for the future of decentralized finance,” Phythian stated.

The “MicroStrategy of Ethereum” emerges

Much like MicroStrategy’s aggressive Bitcoin accumulation, SharpLink Gaming is pioneering a similar strategy, but with Ethereum. The company’s decision to allocate treasury reserves to ETH provides shareholders with direct exposure to the asset’s growth while leveraging staking rewards.

Joseph Lubin, chairman of SharpLink and co-founder of Ethereum, praised the strategy: “SharpLink’s bold ETH allocation is a milestone for institutional adoption. By staking its holdings, the company is strengthening Ethereum’s security while earning additional ETH.”

Who holds more ETH than SharpLink Gaming?

Despite SharpLink Gaming now being the largest public holder of ETH, other entities still control bigger stashes. The Ethereum Foundation holds 214,129 ETH ($594 million), while BlackRock’s iShares Ethereum Trust ETF manages a colossal 1.7 million ETH ($4.5 billion) on behalf of investors.

Market reaction and controversy

The announcement sent SharpLink Gaming’s stock soaring over 400% in late May. However, shares plummeted 73% in after-hours trading this week after an SEC filing sparked fears of a massive sell-off. Lubin clarified that the filing was a routine regulatory step, not an indication of insider selling.

A new era for corporate crypto strategies

SharpLink’s move reflects a growing trend of companies integrating crypto into treasury management. While MicroStrategy popularized Bitcoin reserves, SharpLink is leading the charge for Ethereum, signaling confidence in ETH’s long-term value.

As the crypto market evolves, SharpLink Gaming’s aggressive ETH strategy could inspire more public firms to follow suit. With staked Ethereum at an all-time high and institutional interest growing, the company’s bet may soon pay off—big time.