Recent developments from major investment firms indicate a substantial growth interest in the Solana ecosystem. Notably, Pantera Capital is in the midst of a significant fundraising initiative aimed at accumulating $1.25 billion to establish a Solana treasury.
Transforming a Public Company Into a Solana Treasury
Reported by The Information, Pantera Capital is strategizing to create a dedicated treasury for Solana. Their initial goal is to gather approximately $500 million from investors to invest in a Nasdaq-listed entity, which will then funnel these funds to acquire SOL, eventually morphing into a vehicle dubbed “Solana Co.”
Pantera Capital has firmly established itself as a leader in venture capital, particularly in blockchain and digital assets. Being the pioneer in launching a cryptocurrency fund in the United States back in 2013, the firm now manages more than $4.8 billion in assets.
Earlier this month, Pantera revealed that it has invested over $300 million in Digital Asset Treasury (DAT) firms. Their investment philosophy hinges on the idea that “DATs can yield returns that enhance net asset value over time, providing more token ownership than merely holding spot assets.”
Moreover, Pantera is associated with medical innovator Sharps Technology, who is also in pursuit of creating a $400 million Solana treasury, further detailed in a press release issued by Sharps on Monday. Building upon their previous investments, Pantera plans to raise an additional $750 million through warrants, potentially establishing Solana Co. as the preeminent SOL treasury.
Interestingly, this news emerges just after a report highlighting that Galaxy Digital, Jump Crypto, and Multicoin Capital are also in pursuit of a $1 billion SOL treasury.
The current largest player in the Solana treasury domain, Upexi, boasts around 2 million SOL tokens, approximated at $383 million at the current rate. This latest proposal from Galaxy and its partners would significantly increase the size of SOL treasuries, and Pantera’s ambitions could redefine the landscape altogether.
The treasury model gained prominence through Michael Saylor’s microstrategy with Bitcoin purchases, sparking interest from various firms in diversifying their balance sheets with cryptocurrencies.
With the recent announcements from Galaxy, Pantera, and Sharps surrounding Solana treasuries, there’s palpable excitement and institutional momentum shifting towards this cryptocurrency.
Currently, treasury companies have accumulated about 0.75% of the circulating SOL supply, as reported by Sentora (formerly IntoTheBlock).
An analysis of the treasury dynamics reveals that the corresponding figures stand at over 9% for Bitcoin and approximately 3.4% for Ethereum, indicating that Solana is still in the nascent stages of treasury accumulation.
Current SOL Market Performance
As of now, the price of Solana is around $190, showcasing a decline of over 3% in the past day.
