SharpLink's 10% Stock Increase After Buyback Plan

SharpLink Gaming (ticker SBET) announced on Friday that its board has approved a stock repurchase program up to $1.5 billion. This initiative allows the Ethereum-focused treasury firm to buy back shares when they trade at or below the net asset value (NAV) of its cryptocurrency holdings. Co-CEO Joseph Chalom, previously with BlackRock, described this authorization as part of a disciplined capital markets strategy. He noted that issuing new equity while the stock price remains below NAV would dilute its ‘ether per share’ metric, while buybacks could enhance value under such circumstances. NAV reflects SharpLink’s ‘per-share ETH valuation’ by calculating the fair market value of the company’s ether holdings, along with cash and other assets, minus its liabilities and debt, then dividing by the number of shares outstanding. As SharpLink operates as an ETH-denominated treasury, its NAV fluctuates with the price of Ethereum and changes with the company's token transactions. Following the announcement of the buyback program, SBET shares rose over 10%, as reported by Yahoo Finance. Ethereum's price also saw a 7% increase, trading above $4,600 according to The Block’s pricing data. The company stated that share purchases may occur through open-market buys, private transactions, or other legally permissible methods, with timing and amount depending on market conditions. Importantly, this program does not impose any obligation and can be halted or discontinued at any time. With a market cap of $3.3 billion, SharpLink has established itself as one of the major corporate holders of ether and a strong advocate for Ethereum adoption. Currently, the firm holds approximately 740,760 ETH valued at around $3.4 billion, placing its valuation at approximately 1.06 times NAV. The approval of this stock buyback plan comes at a time of heightened capital market activity among ETH treasury firms. The Block previously reported that Ethereum treasury companies collectively hold around $17 billion in ETH. BitMine Immersion (ticker BMNR), another Ethereum-focused digital asset treasury firm, has raised its ETH holdings to approximately 1.5 million ether, valued around $6.6 billion, according to its recent disclosures. Led by crypto advocate Tom Lee, BMNR claims to be the second-largest digital asset treasury (DAT) following Strategy. Disclaimer: The Block is an independent media organization providing news, research, and data. As of November 2023, Foresight Ventures is a majority investor in The Block. Foresight Ventures invests in various companies in the crypto sector. Crypto exchange Bitget is an anchor limited partner for Foresight Ventures. The Block operates independently, delivering unbiased, important, and timely news about the crypto industry. Here are our current financial disclosures. © 2025 The Block. All rights reserved. This article is for informational purposes only and should not be construed as legal, tax, investment, financial, or other advice.