- Upexi’s stock surged 632% following its $100M raise for a Solana treasury strategy.
- GSR’s investment highlights growing institutional interest in Solana based treasuries.
- Upexi will stake Solana tokens to enhance and expand shareholder returns.
Upexi, a consumer product brand owner, disclosed a $100 million funding acquisition on April 21, through which the company entered the cryptocurrency market. The company will allocate more than 90% of its funds to build a Solana (SOL) treasury strategy to acquire and lock up Solana tokens for long-term investor profit generation. Upexi joined other companies that embrace cryptocurrency by adopting non-traditional business approaches and transforming their treasury operation strategies.
Furthermore, it’s stock price increased over 500% after Upexi announced its entry into digital assets. The share price rose to $16.79 from its April 17 close at $2.30. The substantial increase in Upexi’s stock price reflects how the market views its entrance into digital assets positively.
Investment Backing and Institutional Interest
Several leading crypto venture capital firms affiliated with the family office of Arthur Hayes, Delta Blockchain Fund and Delphi Ventures provided financial support during the $100 million capital raise. These investors contributed to a sale of approximately 44 million shares at $2.28 per share. According to GSR, the crypto investment firm that led the raise this investment reflects a growing demand for secure access to high-quality crypto assets in public markets.
Jakob Palmstierna, President of GSR, emphasized the firm’s belief in decentralized finance (DeFi) and its commitment to supporting the growth of the crypto ecosystem. “This investment underscores our deep belief in the future of DeFi and our commitment to integrating digital assets into institutional portfolios,” Palmstierna stated. GSR’s support is substantial as its experience connects digital assets with traditional finance while driving faster adoption of blockchain technology.
Solana’s Role in Upexi’s Future Strategy
Holding Solana as a treasury asset reflects a broader trend in the crypto industry. Solana is used for its fast transactions, scalability with memecoins, and financial infrastructure running on its blockchain. With its latest move, Upexi joins several companies moving to Solana, including Janover, which recently adopted Solana for its treasury strategy.
Upexi intends to achieve consistent returns by staking Solana tokens, as the blockchain demonstrates performance and institutional investors’ wider shift toward crypto markets. The efforts reflect strategies adopted by firms such as MicroStrategy, which incorporated Bitcoin into its treasury strategy, resulting in a notable rise in its stock price.