Mentioned:
There’s a new half a billion dollars going into the Solana ecosystem.
What’s happening:
- Sol Strategies (CSE: HODL) has secured a $500M USD convertible note financing from ATW Partners for the sole purpose of acquiring Solana
Why it matters:
- This is one of the largest financings ever into a publicly traded company for the purpose of buying Solana to hold directly as an asset
Going deeper:
- The convertible note from ATW Partners is also uniquely structured to receive interest payments through the yield generated by staking Solana, with 85% of the total return from Sol Strategies’ staking going towards paying interest to ATW Partners from any Solana that was purchased from capital provided by the convertible note
- Publicly traded companies raising capital to purchase Solana has been an emerging theme lately, with Janover (NASDAQ: JNVR) raising $42M USD from Kraken and Pantera Capital and Upexi (NASDAQ: UPXI) just recently raising $100M USD from GSR, Delphi Ventures and Arthur Hayes’ family office Maelstrom
The fine print:
- Only $20M USD has been initially drawn down so far on the convertible note and the remaining $480M USD will occur in the future subject to certain conditions being met by Sol Strategies
