SharpLink Gaming Drops 70% After Stock-Sale Filing, Buys $463 Million of Ether – Crypto News – Crypto News
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SharpLink Gaming Drops 70% After Stock-Sale Filing, Buys $463 Million of Ether SharpLink Gaming Drops 70% After Stock-Sale Filing, Buys $463 Million of Ether

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SharpLink Gaming Drops 70% After Stock-Sale Filing, Buys $463 Million of Ether – Crypto News

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SharpLink Gaming Ltd. shares plunged as much as 75% in after-hours U.S. trading on 12 June

SharpLink Gaming Ltd. shares plunged as much as 75% in after-hours U.S. trading on 12 June after the sports-betting technology provider filed a shelf registration with the Securities and Exchange Commission that would allow certain holders to resell stock and warrants issued in a recent financing.

The registration covers securities sold in a US$425 million private investment in public equity that funded the company’s plan to shift portions of its treasury into Ether. News of the potential dilution drove the stock down to roughly US$10 from about US$33 at the close, erasing gains that had seen the shares more than quadruple earlier this year.

On 13 June, SharpLink disclosed that it had purchased 176,271 Ether for approximately US$463 million, executing the first phase of its crypto-treasury strategy. The holding makes the Minneapolis-based firm the largest publicly traded corporate owner of Ether.

The twin announcements underscore both the appeal and the risks of cryptocurrency-backed balance-sheet strategies. While the Ether purchase positions SharpLink at the forefront of corporate adoption of blockchain assets, the looming secondary share sales continue to pressure the stock, which remained about 70% below Thursday’s close in pre-market trading.

This is an AI-generated article powered by DeepNewz, curated by The Defiant. For more information, including article sources, visit DeepNewz.

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