Ethereum price rose more than 5% on Tuesday as the top altcoin benefited from an upside spark triggered by SharpLink Gaming’s announcement that it would be buying $425 million worth of ETH as part of its treasury strategy.

The price of ETH, which hovered below $2,530 earlier in the day, rose to above $2,680, with the price surging more than 5% amid market reaction.

SharpLink Gaming, a Nasdaq-listed company, announced on Tuesday that it would be buying $425 million worth of Ethereum (ETH) as part of its treasury strategy.

The company plans to raise the funds through an offer of a private investment in public equity (PIPE) round, backed by Ethereum development studio Consensys, which will see the sale of 69,100,313 shares of its common stock at the price of $6.15 per share.

The offer, which is expected to close on May 29, subject to closing conditions, will see the aggregate proceeds used to purchase ETH as the company’s primary treasury asset.

“Consensys looks forward to partnering with SharpLink to explore and develop an Ethereum Treasury Strategy and to work with them in their core business as a strategic advisor. This is an exciting time for the Ethereum community, and I am delighted to work with Rob and the team to bring the Ethereum opportunity to public markets,” said Joseph Lubin, founder and chief executive officer of Consensys.

Lubin is also a co-founder of Ethereum. Consensys’ involvement in the deal was as a lead investor.

Meanwhile, top crypto venture capital firms and ecosystem players joined the initiative, with participants including Pantera Capital, ParaFi Capital, Electric Capital, Arrington Capital, and Galaxy Digital.

Others are crypto platform Ondo, VCs White Star Capital, GSR, Hivemind Capital, Hypersphere, and Primitive Ventures.

“This is a significant milestone in SharpLink’s journey and marks an expansion beyond our core business. On closing, we look forward to working with Consensys and welcoming Joseph to the Board,” SharpLink founder and CEO Rob Phythian added.

At press time, ETH was trading at $2,644, up over 5% in the past 24 hours. The coin is now 8% up in the past seven days.

The post SharpLink Gaming to buy $425 million of Ethereum as part of treasury strategy appeared first on TechCrunch.output: Named one of the most influential figures in blockchain and cryptocurrency, Joseph Lubin, founder and chief executive officer of Consensys, a leading blockchain software company, today announced his involvement in a private investment in SharpLink Gaming, a Nasdaq-listed company.

Consensys is a lead investor in the PIPE (private investment in public equity) round which will see the sale of 69,100,313 shares of SharpLink's common stock at the price of $6.15 per share. The offer is expected to close on 29 May, subject to closing conditions.

The investment will see Consensys partner with SharpLink to explore and develop an Ethereum treasury strategy and work with them in their core business as a strategic advisor.

Lubin, who is also a co-founder of Ethereum, will join the board of SharpLink on the closing of the investment.

"This is an exciting time for the Ethereum community, and I am delighted to work with Rob and the team to bring the Ethereum opportunity to public markets," Lubin said.

The initiative has also brought together top crypto venture capital firms and ecosystem players. Participants include Pantera Capital, ParaFi Capital, Electric Capital, Arrington Capital, and Galaxy Digital. Other investors include crypto platform Ondo, VCs White Star Capital, GSR, Hivemind Capital, Hypersphere, and Primitive Ventures.

"We are pleased to announce this PIPE offering, which will provide SharpLink with the capital necessary to invest in its treasury strategy and expand its business operations," said Phythian.

"We believe that this investment will be highly beneficial to our shareholders in the long term."

SharpLink is a gaming technology company that develops and licenses mobile games. The company's shares are traded on the Nasdaq Stock Market under the symbol SGAM.

The investment comes as SharpLink looks to expand its business and invest in new opportunities. The company's treasury strategy is focused on investing in assets that will generate long-term value for shareholders.

SharpLink's shares closed on Tuesday at $5.8, up 5.4% over the previous day's close. The stock is now up about 35% over the past three months.

At press time, Trump Media & Technology Group announced that it was aiming to raise $2.5 billion with a SPAC merger to buy Bitcoin. The company, whose stock is traded on the Nasdaq, planned to use the funds to purchase the flagship cryptocurrency at current market prices.

The post Consensys to partner with SharpLink for $425 million ETH investment appeared first on TechCrunch.output: As part of its treasury strategy, SharpLink Gaming, a Nasdaq-listed company, announced on Tuesday that it would be buying $425 million worth of Ethereum (ETH).

The company plans to raise the funds through an offer of a private