Sharps Technology, Inc. announced the closing of its $400 million private placement, marking a significant shift in strategy as the company prepares to launch a Digital Asset Treasury (DAT) centered on Solana. The transaction involved common stock and stapled warrants priced at $6.50 per unit. If all attached warrants are exercised, Sharps Technology could raise an additional $600 million, bringing total proceeds to $1 billion. This would position the company as one of the largest Solana treasury firms in existence.
The financing attracted participation from a wide range of global financial institutions and digital asset investors. Notable participants included ParaFi, Pantera, FalconX, RockawayX, Borderless, and Luca Netz.
Following the initial announcement of the raise on August 25, Sharps Technology shares experienced a sharp increase. The stock has more than doubled, climbing 116 percent from $7.39 to $16.01, according to data from TradingView. This sharp increment reflects investor enthusiasm for the firm’s entry into the digital asset market and its ambitious plans for Solana.
Strategic Pivot Toward Solana
The company outlined its intention to use proceeds primarily for acquiring $SOL on the open market. Additional funds will support working capital and other corporate purposes. Sharps Technology emphasized its belief in Solana’s capabilities, pointing to the blockchain’s speed, transaction volume, and dominance in on-chain revenue.
To advance this initiative, Sharps Technology signed a non-binding letter of intent with the Solana Foundation. This agreement, which was disclosed in the initial press release announcing the raise, includes the option to purchase $50 million in $SOL at a 15 percent discount to a 30-day time-weighted average price. The purchase, however, would depend on proceeds from a future public offering and is subject to specific conditions.
The financing round attracted a syndicate of established financial institutions and digital asset investors, reflecting confidence in both Sharps Technology’s vision and Solana’s position within the broader blockchain ecosystem.
Alice Zhang, co-founder of Jambo, has been appointed Chief Investment Officer and Board member at Sharps Technology. Commenting on the strategy, she remarked, "Solana is capable of handling any tradable asset, everywhere in the world, and demand is only increasing. With the backing of premier financial and digital asset investors, we believe we are well-equipped to execute on our vision with our team's extensive experience in the Solana ecosystem."
Paul K. Danner, Executive Chairman of Sharps Technology, highlighted the firm’s intention to leverage its advisory team and partnerships with top-tier asset managers to position the company as a leading Solana treasury.
Sharps Technology intends to provide regular updates on its treasury performance and $SOL holdings to maintain transparency with investors. While the company will continue its medical device operations, it sees the digital asset treasury as a long-term value generator.
Broader Solana Treasury Movement
Ms. Zhang's sentiments about Solana are indeed factual. Solana is undoubtedly one of the most compelling assets in crypto. The network boasts more users than any other blockchain by several orders of magnitude, and is the most popular platform for founders and developers to build new applications. Nevertheless, even though the Digital Asset Treasury strategy offers significant upside, it is not without risks. SolanaFloor has previously discussed these risks, noting that the DAT model could expose Solana to systemic vulnerabilities.
Sharps Technology’s announcement comes amid a wave of public companies pursuing Solana-focused treasury strategies. Pantera Capital, one of Sharps Technology's backers, is also seeking to raise up to $1.25 billion to convert a Nasdaq-listed company into Solana Co., a public firm dedicated to accumulating $SOL as a treasury asset. DeFi Development Corp. recently disclosed a $125 million raise, bringing its $SOL treasury to 1.42 million tokens valued at about $270 million. Upexi, another treasury-focused firm, surpassed 2 million $SOL in holdings after raising $200 million in July.
Reports also indicate that Galaxy Digital, Jump Crypto, and Multicoin Capital are working to raise $1 billion for a joint Solana digital asset treasury, further highlighting the rising institutional interest.
Even memecoins are not left out as companies such as Safety Shot, Inc., and Thumzup Media Corporation have integrated assets like $BONK and $DOGE, respectively, into their treasury strategies.
This surge of activity demonstrates how Solana is emerging as a focal point for treasury accumulation strategies, particularly for firms seeking diversification and exposure to the growth of blockchain technology. As more public and private companies explore similar approaches, Solana’s role as a central digital asset in institutional portfolios is poised to expand further.
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