SharpLink Announces Closing of $425,000,000 Private Placement Led by Consensys Software Inc., Will Become the Largest Publicly-Traded ETH Holder Globally

Joseph Lubin, Founder and CEO of Consensys and Co-Founder of Ethereum, becomes Chairman of the Board

SharpLink will use the net proceeds to launch its treasury strategy focused on Ethereum, becoming one of the first Nasdaq-listed companies to take this step.

SharpLink continues its online performance-based marketing company serving the U.S. sports betting and global iGaming industries

MINNEAPOLIS, June 02, 2025 (GLOBE NEWSWIRE) -- SharpLink Gaming, Inc. (NASDAQ:SBET) ("SharpLink" or the "Company") today announced the closing of a $425,000,000 private placement (funded in a combination of fiat and ETH) led by Consensys Software Inc. and other investors to help SharpLink implement the largest Ethereum treasury strategy in the public markets. Joseph Lubin, Founder and CEO of Consensys and Co-Founder of Ethereum, became Chairman of the board of directors of the Company upon the closing of the transaction.

The offering included participation by prominent crypto venture capital firms and infrastructure providers such as ParaFi Capital, Electric Capital, Pantera Capital, Arrington Capital, Galaxy Digital, Ondo, White Star Capital, GSR, Hivemind Capital, Hypersphere, Primitive Ventures, and Republic Digital among others, including Rob Phythian, SharpLink's CEO, and Robert DeLucia, SharpLink's CFO.

This announcement marks a key milestone in SharpLink's growth strategy. The transaction enables the Company to adopt ETH, the native asset of the Ethereum blockchain, as its primary treasury reserve asset, while also continuing to focus on its core business operations. Ethereum powers the majority of stablecoin payments, tokenized assets, and decentralized financial applications. SharpLink's direct ETH treasury position will allow for access to protocol-level activities, such as staking and decentralized finance mechanisms, which are native to the Ethereum network. SharpLink has entered into Asset Management Agreements (AMAs) with ParaFi and Galaxy Asset Management to support the oversight of its Ethereum Treasury strategy alongside the Company's management team.

Rob Phythian, CEO of SharpLink stated, "We believe that this is a powerful partnership combining SharpLink's deep capital markets experience with Consensys' leadership in both technological innovation and its role in building the Ethereum ecosystem. This marks a pivotal moment for SharpLink – one that underscores our commitment to innovation and long-term growth. With this investment, we're not only strengthening our affiliate marketing business, but also pioneering an Ethereum-based treasury strategy by a Nasdaq-listed company."

Joseph Lubin, Founder and CEO of Consensys, Co-Founder of Ethereum and Chairman of SharpLink's board of directors stated, "At Consensys, we believe Ethereum has proven itself over the past decade as a resilient, programmable decentralized trust foundation, supporting both institutional and public applications. This partnership with SharpLink represents more than just a financial milestone: it reflects the growing recognition across capital markets that programmable assets like ETH play an important role today in how value, trust, and financial systems are structured globally. I am pleased to join as Sharplink's Chairman of the Board of Directors in adopting Ethereum's open, secure, and scalable infrastructure, which is already being used across institutional and decentralized applications."     

A.G.P./Alliance Global Partners acted as the sole placement agent in connection with the offering.

The offer and sale of the foregoing securities was made in a private placement in reliance on an exemption from the registration requirement of the Securities Act of 1933, as amended (the "Securities Act"), pursuant to Section 4(a)(2) of the Securities Act and/or Regulation D promulgated thereunder, and applicable state securities laws. Accordingly, the securities offered in the private placement may not be offered or sold in the United States except pursuant to an effective registration statement or an applicable exemption from the registration requirement of the Securities Act and such applicable state securities laws. Concurrently with the execution of the securities purchase agreements, the Company and the investors entered into a registration rights agreement pursuant to which the Company has agreed to file a registration statement with the Securities and Exchange Commission (the "SEC") registering the resale of the shares of common stock.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

Advisors

Thompson Hine LLP acted as legal advisor to SharpLink Gaming, Inc.

Sullivan & Worcester LLP acted as legal advisor to A.G.P./Alliance Global Partners.

Baker Botts L.L.P. acted as legal advisor to Consensys Software Inc.

About SharpLink Gaming, Inc.

Headquartered in Minneapolis, Minnesota, SharpLink is one of the first Nasdaq-listed companies to develop a treasury strategy centered on ETH, which will serve as SharpLink's primary treasury reserve asset. In adopting its new treasury policy, SharpLink intends to provide investors with economic exposure to ETH and to advocate for its role as digital capital.

SharpLink is also a trusted marketing partner to leading sportsbooks and online casino gaming operators worldwide. Through its iGaming affiliate marketing network, known as PAS.net, SharpLink focuses on driving qualified traffic and player acquisitions, retention and conversions to U.S. regulated and global iGaming operator partners worldwide. SharpLink also owns and operates a portfolio of direct-to-player, state-specific, affiliate marketing websites designed to attract, acquire and drive local sports betting and online casino gaming traffic to its valued partners which are licensed to operate in each respective state. For more information, please visit www.sharplink.com.

About Consensys Software Inc.

Consensys is the leading Ethereum software company, building the infrastructure, tools, and protocols that power the world's largest decentralized ecosystem. Founded in 2014 by Ethereum co-founder Joseph Lubin, Consensys has played a foundational role in Ethereum's growth, from pioneering products like MetaMask and Linea to shaping protocol development and staking infrastructure. Today, Consensys continues to lead Ethereum's evolution through strategic R&D, and direct contributions to network upgrades. With a global product suite, and deep roots across the ecosystem, Consensys is uniquely positioned to accelerate Ethereum's role as the trust layer for a new global economy, one that is decentralized, programmable, and open to all.

Forward-Looking Statement

Statements in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, and these forward-looking statements are subject to various risks and uncertainties. Such statements include, but are not limited to, the Company's anticipated use of the proceeds from the offering, the execution of the Company's treasury strategy and other statements that are not historical facts, including statements which may be accompanied by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential" or similar words. Actual results could differ materially from those described in these forward-looking statements due to certain factors, including without limitation, fluctuations in the market price of ETH and any associated impairment charges that the Company may incur as a result of a decrease in the market price of ETH below the value at which the Company's ETH are carried on its balance sheet, changes in the accounting treatment relating to the Company's ETH holdings, the Company's ability to achieve profitable operations, government regulation of cryptocurrencies and online betting, changes in securities laws or regulations such as accounting rules as discussed below, customer acceptance of new products and services including our ETH treasury strategy, the demand for its products and its customers' economic condition, the impact of competitive products and pricing, the lengthy sales cycle, proprietary rights of the Company, changes in applicable laws or regulations, and its competitors, general economic conditions and other risk factors detailed in the Company's annual report and other filings with the SEC. Under U.S. generally accepted accounting principles, entities are required to measure certain crypto assets at fair value, with changes reflected in net income each reporting period. Changes in the fair value of crypto assets could result in significant fluctuations to the income statement results. Any forward-looking statements contained in this press release speak only as of the date hereof, and the Company does not undertake any responsibility to update the forward-looking statements in this press release.

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