SBET Stock Goes Ballistic: 565% Rally After Betting Big on Ethereum

Wall Street blinked—and SharpLink Gaming’s stock went supernova. The esports-turned-crypto play saw shares erupt 565% overnight after announcing a $425M Ethereum treasury allocation. Who needs fundamentals when you’ve got hopium?

From Penny Stock to Crypto Darling

Once relegated to penny stock obscurity, SBET now rides the institutional crypto wave. The move mirrors MicroStrategy’s bitcoin playbook—but swaps out Satoshi’s creation for Vitalik’s smart contract playground.

Traders FOMO, Skeptics Eye Exits

Market makers scrambled as volume hit 50x the 30-day average. ’Either they’ve cracked the code on corporate treasury management,’ quipped one hedge fund analyst, ’or this is the most expensive marketing stunt since WeWork’s IPO.’

One thing’s certain: in 2025’s market, betting the house on ETH gets you more attention than earnings ever could. Just don’t ask about the gas fees.

TLDR

• SBET stock surged 565% after announcing a $425M Ethereum-focused treasury plan.
• SharpLink to acquire ETH as its primary reserve asset, backed by major crypto investors.
• Ethereum co-founder Joseph Lubin appointed as board chairman to guide blockchain strategy.
• Consensys, Galaxy Digital, and Pantera Capital led the private placement funding round.
• SharpLink’s shift signals growing public company adoption of Ethereum in corporate finance.

SharpLink Gaming, Inc. shares surged over 565% during intraday trading on May 27, following the announcement of a significant investment deal. The stock jumped from $6.72 to nearly $49 before slightly pulling back to $44.74. This sharp increase followed the company’s MOVE to establish an Ethereum-based treasury reserve.

SharpLink Gaming, Inc. (SBET)

SBET Stock Soars After Strategic Crypto Investment Plan

SharpLink Gaming, Inc., revealed a $425 million private placement to fund a corporate treasury strategy centered on Ethereum. The company signed securities purchase agreements to issue over 69 million shares at $6.15 per share, and select management team members purchased shares at $6.72 per share.

Consensys Software Inc. led the investment round, which major crypto firms like Galaxy Digital, Pantera Capital, and ParaFi Capital joined. The round also saw participation from SharpLink’s CEO and CFO, reinforcing confidence in the company’s new strategy. A.G.P./Alliance Global Partners acted as the exclusive placement agent for the transaction.

The deal is expected to close by May 29, pending customary closing conditions. Upon closure, the company plans to use the funds to acquire ethereum for its treasury. This move aligns with its broader goal of integrating blockchain innovation into its financial structure.

SharpLink Appoints Ethereum Co-Founder to Board of Directors

As part of the agreement, SharpLink nominated Ethereum co-founder Joseph Lubin as chairman of its board of directors. Lubin also serves as CEO of Consensys, which played a central role in the funding round. This appointment signals the company’s commitment to Ethereum’s ecosystem and decentralized finance innovation.

SharpLink aims to work with Lubin and Consensys to implement a long-term Ethereum treasury framework. Additionally, Consensys will support SharpLink’s Core business operations through strategic advisory services. The collaboration bridges the gap between traditional companies and Web3 infrastructure.

This board restructuring is expected to help guide SharpLink’s transition into blockchain-based financial operations. By leveraging Lubin’s expertise, the company positions itself to lead in Ethereum-based asset management. The move also reflects broader trends of public companies adopting crypto in treasury planning.

Ethereum Becomes SharpLink’s Primary Reserve Asset

Following the investment, Ethereum will become SharpLink’s official primary treasury reserve asset. The company will allocate a portion of the raised funds to acquire ETH once working capital needs are reviewed. This step marks a significant shift in treasury strategy among U.S. public companies.

The firm plans to adopt ETH for long-term balance sheet diversification and enhanced liquidity management. This decision positions SharpLink among a growing number of companies integrating blockchain into their financial operations. The company believes Ethereum offers superior utility for modern corporate reserves.

Moreover, the registration rights agreement signed with investors ensures the future resale of shares through the SEC. This gives investors a path to liquidity while maintaining SharpLink’s regulatory compliance. The deal structure enables capital infusion without immediate dilution in public markets.

Conclusion

SharpLink Gaming’s stock rally reflects investor Optimism around its bold move into Ethereum-based treasury management. With institutional support and new leadership, the company is restructuring itself for a blockchain-integrated future. The deal underscores Ethereum’s rising influence in traditional financial operations.