SharpLink Becomes World's Largest Publicly Listed Company Holding Ethereum

SharpLink Gaming announces it will spend $463 million to buy 176,271 ETH tokens, becoming the second-largest Ethereum holder. The company has staked 95% of its held assets and may repeat this model.

However, this big bet may come at an unfavorable time. Last night, when the company filed with the SEC regarding the purchase, its stock price dropped 70%, and ETH subsequently also declined for unrelated reasons.

Will SharpLink's Ethereum bet be successful?

In recent weeks, Bitcoin purchases by companies have become a global trend, with companies across most continents buying and holding BTC.

Although Bitcoin leads this race, some companies prefer altcoins, and SharpLink's decision to invest heavily in Ethereum is part of this phenomenon.

By spending $463 million on Ethereum, SharpLink is now the largest publicly traded ETH holder. In fact, only the Ethereum Foundation holds more of these assets.

In the press release, the company seems to identify this strategy as its primary activity, only briefly mentioning its gaming business at the end of the statement.

"We believe Ethereum is the foundational infrastructure for the future of digital commerce and decentralized applications. Our decision to choose ETH as our primary reserve asset reflects our deep belief in its role as a programmable and profitable digital capital," said Rob Phythian, CEO of SharpLink Gaming.

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

Last night, when SharpLink filed with the SEC related to the ETH plan, Lubin went on social media to clarify the company's position. The social media confusion caused a 70% drop in the company's stock price, and the damage continues.

However, Ethereum's performance could also be a factor in SharpLink's stock valuation. ETH has had a difficult year in 2025, and its recovery window may have ended.

Despite institutional investment, the token is being affected by leadership disputes and geopolitical developments. In the past 24 hours, ETH price has dropped over 7%.

However, Ethereum's price difficulties will not necessarily ruin SharpLink's acquisition strategy. The company's press release states they have staked 95% of their held ETH and may repeat this model with new tokens.

This will allow the company to earn passive profits and demonstrate interest in the long-term usability of blockchain.

However, the 70% stock price drop is hard to accept, especially since it occurred before ETH's own collapse. SharpLink is making a big bet on Ethereum, but it may not be successful.

In any case, this will be a useful data point for traders and industry observers.