Joseph Lubin-backed SharpLink Gaming has drastically increased the equity it intends to sell to scoop up more Ether — and has added $515 million of Ether (ETH) to its treasury in just the last nine days.
In a prospectus supplement filed with the US Securities and Exchange Commission on Thursday, SharpLink said it has increased the amount of common stock it can sell by an extra $5 billion, up from $1 billion under its initial May 30 filing.
Similar to its prior prospectus, SharpLink said it will use the majority of the proceeds to acquire Ether.
“We intend to contribute substantially all of the cash proceeds that we receive to acquire Ether […] We also intend to use the proceeds from this offering for working capital needs, general corporate purposes, operating expenses and core affiliate marketing operations.”
If SharpLink were to use $6 billion to buy ETH for its treasury today, it would hold nearly 1.38% of ETH’s circulating supply.
ETH acquisition continues
On Monday, SharpLink became the largest corporate holder of ETH, and in a more recent X post, SharpLink hinted that it intends to hold 1 million ETH for its treasury.
As of Tuesday, the company held more than 280,000 ETH in its reserve, with approximately 99.7% of the asset being staked.
SharpLink has generated 415 ETH, worth $1.49 million, as a staking reward between June 2 and July 15.
Related: SharpLink buys 10,000 ETH from Ethereum Foundation as Ether reclaims $3K
Following the regulatory filing of its increased share offering, SharpLink bought another 32,892 ETH, worth $115 million.
The company has now purchased $515 million worth of ETH in the past nine days, according to Lookonchain.
Galaxy Research noted that SharpLink surpassing the Ethereum Foundation’s total ETH holding acts as a positive catalyst for the ecosystem.
Stock dips
Sharplink Gaming (SBET) stock ended Thursday’s trading session at $36.40, a decrease of 2.62%. The stock further fell after the bell and ended the after-hours trading session with a cut of 4.95% at $34.60, according to Google Finance.
SBET is up 350% year-to-date; however, the stock is down 54% from its May 29 high of $79.21.
In the March quarter, SharpLink saw its revenue decline 24% year-on-year, while its net profit margin decreased by 110% during the quarter.
The company is expected to announce its next quarterly results on Aug. 13, according to Nasdaq.
