Sharplink Stakes $200 Million ETH Through Lido Amid Volatility

Sharplink Inc., which operates at the intersection of digital asset treasury management and blockchain liquidity infrastructure, has announced its decision to stake $200 million of its Ether through Lido, the largest liquid staking protocol on Ethereum. This move adds another layer to Sharplink's existing treasury strategy, which has already made it one of the largest corporate holders of ETH anywhere.

The company will receive wstETH, a token that represents staked ETH plus its rewards, and hold it in custody with Anchorage Digital. Lido is no small partner, with roughly $16.5 billion in ETH flowing through its protocol, and wstETH used as collateral in more than $10 billion worth of positions across over 100 different DeFi applications.

Sharplink's decision to stake its Ether comes after a second-quarter report that showed the company growing fast on one line but bleeding hundreds of millions on another. The company posted a net loss of $394.3 million in the second quarter, more than triple the $103.4 million loss from a year earlier.

Despite this significant loss, Sharplink's revenue climbed to $11.5 million in the second quarter, up from just $0.7 million a year earlier, as its actively managed ETH holdings began generating real income. The company held about 886,881 ETH as of June 30, and was added to the Russell 2000 and Russell 3000 indexes in the June reconstitution.