Joseph Lubin Turns SharpLink Into Public Ethereum Company With $425M ETH

SharpLink Gaming announced a major transformation of its business model on May 27, 2025. As part of a private investment in public equity (PIPE) offering, the firm raised $425 million to establish an Ethereum treasury, becoming the first public company to adopt ETH as its primary corporate asset. 

According to the announcement, all proceeds will be used to purchase ETH, marking the largest institutional allocation into Ethereum’s native token in 2025.

The round attracted leading crypto investors, including Consensys, Galaxy Digital, Pantera Capital, Ondo, and ParaFi. As a key backer, Consensys will appoint its CEO and Ethereum co-founder, Joseph Lubin, as chairman of SharpLink’s board of directors.

As part of the deal, the company issued 69.1 million shares at $6.15 each, with a 30-day option to purchase additional shares. The transaction is set to close on May 29. With this move, SharpLink officially positions itself as the first public ETH company, echoing MicroStrategy’s role in the Bitcoin space.

Following the announcement, SBET shares soared 420%, reaching an intraday high of $53.45.

Why Ethereum, and Why Now: Institutional Momentum and a Second Wind for ETH

SharpLink’s move to establish a public Ethereum treasury comes amid a sharp rise in institutional interest in ETH. Over the past month, Ethereum has gained 50%, reaching $2,700. 

Moreover, open interest in ETH futures has surpassed $36.1 billion—a record high—reflecting growing momentum in the derivatives market.

Much like MicroStrategy positioned Bitcoin as its primary corporate asset, SharpLink aims to carve out a similar role for Ethereum. For traditional investors, this offers a convenient proxy: an opportunity to gain exchange-traded exposure to ETH without the need to hold the asset directly or engage with DeFi infrastructure.

Additionally, investors expect that a portion of the acquired ETH will be allocated to staking, reducing the circulating supply and potentially adding upward pressure on price. 

Amid this shift, a new investment narrative is taking shape: Ethereum as a corporate digital reserve asset, combining growth potential with the infrastructure layer of Web3.

Related: Decoding MicroStrategy’s Bitcoin Buying Strategy: Why & How

Meanwhile, Ethereum co-founder and Consensys CEO Joseph Lubin called the initiative a pivotal moment for ETH, comparable to what MicroStrategy did for BTC. His appointment to SharpLink’s board adds strategic weight to the move for the broader ecosystem.

What It Means for the Market: ETH on the Path to $3,000

Investors and traders viewed the news as another step toward the institutional legitimization of ETH and began pricing in potential upside. At the time of publication, Ethereum is holding firmly above $2,700, with analysts naming the next targets in the $3,100–$3,400 range.

Related: Solana vs Ethereum in DeFi: Franklin Templeton Breaks Down the Competition

The rise of SBET as an institutional proxy for Ethereum is also gaining momentum. Investors who are not ready to hold crypto assets directly can gain exposure to ETH through public instruments, such as SharpLink stock. This opens the door to a new segment of the equity market: crypto proxy companies whose valuations are directly or indirectly tied to ETH.

Ultimately, the SharpLink case could mark the beginning of a new wave, with Ethereum positions becoming a strategic component of public company balance sheets in the digital asset era.