SharpLink Becomes the World’s Largest Publicly-Listed Ethereum Holder

SharpLink Gaming announced it will spend $463 million to purchase 176,271 ETH tokens, becoming the second-largest Ethereum holder. It has already staked 95% of its held assets and will presumably repeat this pattern.

However, this massive gamble may come at an inopportune time. Last night, when the company filed SEC paperwork related to the purchase, its stock price fell by 70%, and ETH subsequently crashed for unrelated reasons.

Will SharpLink’s Ethereum Bet Pay Off?

Over the last few weeks, corporate Bitcoin acquisition has been turning into a worldwide trend, with firms on most continents buying and holding BTC.

Although Bitcoin leads this race, some firms are instead preferring altcoins, and SharpLink’s decision to make this massive commitment to Ethereum is part of this phenomenon.

By spending $463 million on Ethereum, SharpLink is now the largest publicly traded ETH holder. Indeed, only the Ethereum Foundation holds more of this asset.

In its press release, the company seems to identify this strategy as its main enterprise, briefly mentioning its gaming business at the very end of its statement.

“We believe Ethereum is foundational infrastructure for the future of digital commerce and decentralized applications. Our decision to make ETH our primary treasury reserve asset reflects deep conviction in its role as programmable, yield-bearing digital capital,” claimed Rob Phythian, CEO of SharpLink Gaming.

The press release also mentioned that Joseph Lubin, co-founder of Ethereum and founder of Consensys, is currently the Chairman of SharpLink Gaming.

Last night, when SharpLink filed with the SEC regarding its ETH plans, Lubin took to social media to clarify the firm’s position. Social media confusion caused a 70% price drop in the company’s stock, and the damage is still lingering.

However, Ethereum’s own performance is also a likely factor in SharpLink’s share valuation woes. ETH has had a hard year in 2025, and its recovery window might be ending already.

Despite institutional investment, the token is suffering from leadership disputes and geopolitical developments. In the last 24 hours, ETH’s price has fallen more than 7%.

Ethereum Monthly Price Chart. Source: BeInCrypto

Still, these price doldrums for Ethereum won’t necessarily doom SharpLink’s acquisition strategy. The company’s press release claims that it is already staking 95% of its held ETH and will presumably repeat this pattern with its new tokens.

This will allow the company to both reap passive yields and demonstrate its interest in the blockchain’s long-term usability.

Nonetheless, a 70% drop in stock price is hard to swallow, especially because it happened before ETH’s own crash. SharpLink is making a massive gamble on Ethereum, but it may not work out.

Either way, it’ll be a useful data point for traders and industry observers.