Sharplink Gaming's shares plummeted more than 70% in trading after the company on Thursday. This recently announced that it would create an Ethereum Treasury, but could potentially sell securities with the S-3 shelf prospectus.
According to Yahoo Finance data, Minneapolis-based Sharplink, an online gambling marketer listed on Nasdaq, has recently changed hands at $10.35 per share. Thursday's deal closed at $32.53.
The SEC filing page appeared to indicate that the pipe sales participants sold their holdings. However, Ethereum co-founder, Consensey CEO and board chairman Joseph Rubin wrote to X that people were “misinterpreting” S-3 filings.
Some people misunderstand SBET's S-3 filing.
Register potential resale stocks by previous investors
The “Stocks owned after offering” column is hypothetical, assuming a full sale of registered shares.
This is the standard postpiping procedure for TRADFI and is not a sign of…
– Joseph Rubin (@ethereumjoseph) June 12, 2025
“Register potential resale shares by previous investors. The “Stocks owned after offer” column is hypothesiswriting, assuming full sale of registered stocks. standard Steps after the Tradfi pipes, not actual signs of sale. To be clear, neither Consensys nor I have sold stocks. ”
Decryption I contacted Sharplink Gaming and The SEC, but neither of them responded immediately.
Sharplink announced it had risen to nearly $80 on May 29th, and two days later it raised $425 million in private investments in public stocks or pipes.
Private investments in pipes, or public stocks, are ways to quickly raise stocks, not through public corporations, by selling shares personally to public companies or certified investors.
The plan came amid a wave of publicly traded businesses that either built a cipher-focused Treasury Department or raised funds with the intention. They are challenging previous micro-strategies to become the former micro-strategy, which is a former micro-strategy and has 582,000 tokens worth more than $61 billion at current prices, following an approach that has been popularized by the strategy.
Other companies have also focused on Bitcoin, but in recent weeks they have chosen Treasury based on altcoins such as Solana and XRP.
Ethereum recently traded at around $2,640, down more than 4% in the last 24 hours, according to Crypto Markets data provider Coingecko.
Ethereum-centric software company Consensys has joined the pipe product along with Galaxy Digital, Parafi Capital, Ondo and Pantera Capital, Sharplink said in a statement at the time. The group purchased 69,100,313 shares of each for $6.15. (Disclosure: Consensey is one of the 22 investors of the editor. Decryption. )
Edited by Andrew Hayward
