Solana Treasury Firm Seeks $20 Million to Fuel SOL Buying Spree
DeFi Development Corp., a publicly traded company listed on the Nasdaq under the ticker DFDV, has launched a preferred stock offering to raise $19.8 million. The company plans to use most of the proceeds from the sale of 2.2 million shares at $9 each to buy more SOL.
According to CEO Joseph Onorati, 'we expect to buy SOL with most of the proceeds,' although he also noted that the funds could be used for general corporate purposes such as working capital and other investments.
DeFi Development Corp. has a treasury strategy centered on accumulating and staking SOL, which it believes will amplify its performance. The company has already purchased 19,000 SOL at an average price of $98.14, increasing its holdings to about 2,333,432 SOL, worth around $236 million.
As part of its treasury strategy, DeFi Development Corp. operates its own Solana validators, allowing it to earn staking rewards and fees from delegated tokens. The company's returns have been impressive so far, with DFDV outperforming SOL by 1.8 times in the quarter-to-date.