ETH Treasury Firm SharpLink to Tokenize SBET Stock on Ethereum

SharpLink, an Ethereum Treasury Firm, will become the first public firm to tokenize its common stock on the Ethereum blockchain. The Nasdaq-listed company has partnered with tokenization platform Superstate to tokenize its SBET stock, which is currently down amid the ETH price decline. 

SharpLink to Tokenize SBET Stock on Ethereum

Sharplink has partnered with Superstate to utilize its Opening Bell solution to tokenize SBET stock. The move is part of the firm’s bid to tokenize stock in a legal and compliant environment.

SharpLink will be the first public company to tokenize their shares on Ethereum using Superstate’s Opening Bell, a milestone worthy of such an important Ethereum-aligned company, Superstate CEO Robert Leshner said.

SharpLink’s move aligns with the Securities and Exchange Commission’s Project Crypto initiative, which seeks to bring the capital markets on-chain. The company further intends to explore ways to trade the tokenized stock on decentralized finance (DeFi) platforms and automated market makers.

This could enhance market transparency and revolutionize the investors’ confidence in public companies. Other public firms, including Solana treasury firm Forward Industries and Galaxy Digital, have also utilized Superstate’s Opening Bell to tokenize stock, although on the Solana network. 

Meanwhile, it is worth mentioning that SharpLink is already a major stakeholder in the Ethereum ecosystem, as it currently holds over 838,000 ETH and generated 3,815 ETH in native and liquid staking rewards. The company is the second-largest public ETH holder, behind Tom Lee’s BitMine.

What This Means for the Global Markets

In an X post, SharpLink’s co-CEO Joseph Chalom stated that tokenizing the company’s stock on Ethereum is a statement about where the global capital markets are heading. He further remarked that he is proud to lead the company into a new era of tokenized public equities with Seperstate.

Chalom added that this milestone reflects their deep commitment to advancing Ethereum adoption and that they are building the public equity vehicle that is best positioned to capture the long-term ETH opportunity for its shareholders. Plans to tokenize the SBET stock come amid the downtrend in the ETH price, which has dropped below $4,000 for the first time since August 8.

As a result, the SBET stock is down over 9% today, trading just below $16. The stock is also down over 16% in the past month but up 109% year-to-date (YTD). However, this still represents a significant drawdown from June, when SharpLink first announced plans to adopt ETH as its primary reserve asset. At the time, the stock price rallied to nearly $80.