TLDR
- SharpLink will deploy $200M in ETH on Linea to earn staking and DeFi rewards.
- The ETH will be custodied and managed by Anchorage Digital Bank.
- EtherFi and EigenCloud will provide staking and restaking infrastructure.
- SharpLink gains governance rights by joining the Linea Consortium.
In a move to strengthen its digital asset strategy, SharpLink Gaming, Inc. (Nasdaq: SBET) will deploy $200 million in Ethereum through a long-term partnership with Linea, Consensys’ zkEVM Layer-2 scaling network. This initiative aims to access increased staking and DeFi rewards while maintaining regulatory compliance and institutional-grade custody.
Strategic Ethereum Deployment on Linea
SharpLink, one of the largest public holders of ETH, has announced that it will allocate $200 million in Ethereum to Linea over a multi-year period. This strategy is designed to improve yield from on-chain staking, restaking, and DeFi incentives, while ensuring strong risk controls through its custodian, Anchorage Digital Bank.
The company said its ETH deployment will include EtherFi and EigenCloud, platforms that support Ethereum restaking and AVS (Autonomous Verifiable Services). By combining these tools within Linea’s Layer-2 infrastructure, SharpLink aims to increase the utility and productivity of its ETH treasury holdings.
Joseph Chalom, Co-CEO of SharpLink, stated, “This deployment enables us to access the best of Ethereum’s staking, restaking and DeFi yield, while maintaining the institutional safeguards our stockholders expect.”
Leveraging Partnerships for DeFi and Restaking Rewards
SharpLink will use EtherFi and EigenLayer to access rewards through Ethereum restaking. These platforms allow ETH to be reused for securing decentralized services, which offers additional yield beyond basic staking.
EigenCloud, supported by EigenLayer, enables SharpLink to participate in verifying services such as verifiable AI and trustless infrastructure. These services are designed to run securely and transparently, using Ethereum as the base layer. The combined approach allows SharpLink to benefit from yield generated by staking and from emerging on-chain services.
Mike Silagadze, CEO of EtherFi, noted, “At scale, ETH treasury managers need trusted, efficient venues to put their assets to work.”
Institutional Infrastructure and Compliance
SharpLink’s ETH is held and managed by Anchorage Digital Bank, a federally chartered crypto bank. This ensures compliance with U.S. regulatory standards and offers security protections in line with institutional finance.
Anchorage CEO Nathan McCauley said, “Ethereum’s institutional era demands infrastructure that’s every bit as secure and regulated as traditional finance.”
Linea’s infrastructure is designed to support institutions with faster settlements, lower fees, and easy integration with Ethereum. Its zkEVM architecture helps maintain Ethereum’s security while scaling transaction volume.
Joseph Lubin, CEO of Consensys and Co-Founder of Ethereum, added, “Through this initial innovative collaboration, SharpLink’s ETH will earn enhanced native yield through Linea’s ecosystem partners.”
Governance Role and Future Expansion
As part of the Linea Consortium, SharpLink gains a role in Layer-2 governance, helping shape how Ethereum scaling solutions evolve. The company has also tokenized its equity as SBET directly on Ethereum, giving investors leveraged exposure to ETH via an on-chain asset.
This step marks the beginning of a broader effort between SharpLink and Consensys to create capital markets infrastructure on-chain. Future initiatives will explore tokenized equity, always-on fundraising, and global liquidity tools for institutional investors.
Sreeram Kannan, CEO of Eigen Labs, said, “What excites me about this deployment is not just what it delivers today, but what it enables tomorrow.”
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