SharpLink bets big on Ethereum, funding $1.5B stock buyback plan

SharpLink Gaming has commenced its $1.5B share buyback program meant to drive long-term stockholder value. The initiative includes repurchasing about 1 million shares of SBET.

The company said the initiative came as its stock is currently undervalued in the market. SharpLink also believes that buying its stock at a Net Asset Value (NAV) of less than 1 will be accretive and compound its long-term stockholder value.

SharpLink stakes its entire ETH holdings to earn revenue

NEW: SharpLink begins utilizing its $1.5B share buyback program, repurchasing ~1M shares of $SBET.

We believe our stock is significantly undervalued. Buying back stock at NAV < 1 is immediately accretive and compounds long-term stockholder value.

Key facts:

– $3.6B of $ETH on… pic.twitter.com/Wr0WEYLqlb

— SharpLink (SBET) (@SharpLinkGaming) September 9, 2025

At the time of publication, the online gaming company holds approximately $3.6 billion of ETH with no current outstanding debt. SharpLink also revealed that 100% of the ETH in its balance sheet is staked, which is generating revenue for the company.

SharpLink Gaming’s stock price is currently exchanging hands at around $15.90, a 1.40% rise in the last 24 hours. The company has also seen a 29% decline in its share price in the past month, but it’s up more than 250% in the last 6 months.

The tech company revealed that stock repurchases are immediately accretive to stockholders despite the stock trading below its NAV. SharpLink also plans to demonstrate its commitment to stockholders by repurchasing roughly 939,000 shares of its common stock at an average price of $15.98. 

The firm also expects to continue its repurchase program based on market conditions. The initiative will include cash on hand, cash available from operating activities like staking, or alternative forms of financing.

“Maximizing stockholder value remains our top priority as we execute on our vision of being the most trusted ETH treasury company in the market.”

–Joseph Chalom, Co-Chief Executive Officer of SharpLink.

Chalom believes the firm’s zero debt, $3.6 million ETH on its balance sheet, and a strong income-generating ETH treasury give it a strong advantage. He maintained that the market is currently undervaluing its business. 

SharpLink also acknowledged that it has not used its At-the-Market (ATM) facility while trading below NAV. The company said it would use the ATM facility in an accretive manner for its stockholders if market conditions change.

Chalom mentioned in August that the firm’s stock would be dilutive on an ETH per share basis to issue new equity through capital raising efforts if it trades below the NAV of its digital asset holdings. He said the initiative would lead to a repurchase of the company’s common stock.

The official revealed Tuesday that instead of issuing equity while trading below NAV, the firm is more focused on disciplined capital allocation, such as share repurchases to increase stockholder value. He also acknowledged that SharpLink Gaming will continue to focus on the long-term Ethereum opportunity, which is reflected in its buyback strategy.

SharpLink goes all-in on Ethereum

On-chain data shows that SharpLink currently has around 837,230 ETH in its holdings worth over $3.6 billion. The increase came after the firm purchased 39,008 ETH last month at an average price of $4,531 per ETH.

As the company’s ETH holdings consistently earn staking rewards, its total staking rewards hiked to 2,318 ETH as of August 31, 2025. In the week ending August 31, the firm also raised $46.6 million in net proceeds through its ATM facility. 

The firm also plans to occasionally repurchase its shares via open market purchases or privately negotiated transactions. SharpLink also said it could halt the program at any time since it is not obligated to buy back any specific amount of shares.

BitMine Immersion Technologies currently leads ETH treasury companies with 2,069,443 ETH in its holdings. The firm’s chair, Tom Lee, said that Wall Street’s move onto the blockchain has created a supercycle for the digital asset.

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