SharpLink and Galaxy Unveil $125M On-Chain Yield Fund for Active Returns

SharpLink Gaming and Galaxy Digital have collaborated to establish an on-chain yield fund worth $125 million. The fund, called the 'Galaxy Sharplink Onchain Yield Fund' (LP), has been seeded with a $100 million Ether reserve provided by SharpLink, while Galaxy Digital contributes $25 million as investment manager.

The fund's primary objective is to generate active returns through decentralized finance (DeFi) protocols. Galaxy Digital will oversee the risk assessment and execution of on-chain operations for the fund. The deployment of funds will focus on a risk-filtered DeFi ecosystem, aiming to maximize capital utilization efficiency while maintaining security.

This partnership signifies a shift in corporate treasury allocation from passive models to active return generation through DeFi protocols. SharpLink Gaming has been working towards maximizing its Ether holdings since May 2025, when it adjusted its asset-liability allocation strategy led by Consensys Software Inc. The company now holds the second-largest ETH reserve globally.