SKN | Sharplink Posts $735M Loss After Ethereum Slump but Plans to Keep Buying ETH

Key Points

• Sharplink reported a $734.6 million net loss in 2025 largely due to a $616 million paper loss on its Ethereum holdings.
• The company holds more than 868,000 ETH and intends to continue accumulating despite market volatility.
• Sharplink doubled its ETH-per-share ratio during the year and expanded revenue through staking and treasury operations.

Ethereum treasury firm Sharplink Gaming reported a net loss of approximately $734.6 million for 2025, reflecting the sharp downturn in the cryptocurrency market during the second half of the year.

The company said the majority of the loss came from a $616.2 million unrealized decline in the value of its holdings of Ether. Sharplink currently holds about 868,699 ETH.

An additional $140.2 million impairment charge related to the conversion of staked Ether also contributed to the company’s negative earnings for the year.

Market Crash Hit Ethereum Late in 2025

Ethereum experienced strong momentum earlier in 2025, climbing to roughly $4,829 in August before a broad crypto market crash later in the year pushed prices sharply lower.

By the end of 2025, ETH had fallen to around $3,000, significantly reducing the value of corporate treasury holdings built during the earlier rally.

Despite the steep paper losses, Sharplink said the volatility does not alter its long-term strategy.

Company Plans to Continue Accumulating Ether

Sharplink said it intends to keep building its Ethereum treasury and increasing the amount of ETH backing each share.

The company’s strategy focuses on expanding the ETH-per-share ratio over time, aiming to create long-term shareholder value through digital asset accumulation and staking yield.

During 2025, Sharplink more than doubled its ETH-per-share ratio from about 2 ETH per share to 4.01 ETH per share.

The firm is chaired by Joseph Lubin, a co-founder of Ethereum.

Revenue Growth Driven by Staking and Treasury Activity

While accounting losses mounted, Sharplink reported strong revenue growth from its digital asset operations.

Total revenue rose 659% during the year, increasing from $3.7 million to $28.1 million.

Revenue generated through ETH staking climbed 48.5% between the third and fourth quarters, reaching $15.3 million. The company also generated $55.2 million from conversions between ETH and liquid-staked ETH tokens.

Corporate Ether Treasuries Continue to Expand

Sharplink’s aggressive accumulation strategy has made it one of the largest publicly traded Ethereum holders.

After raising $3.2 billion in funding during 2025, the firm became the second-largest public ETH holder behind BitMine Immersion Technologies, which controls more than 4.5 million ETH — roughly 3.76% of the total supply.

However, BitMine has also experienced significant unrealized losses as Ethereum’s price declined sharply over the past six months.

Sharplink Stock Remains Volatile

Shares of Sharplink, traded under the ticker SBET, have experienced dramatic volatility.

The stock surged roughly 1,000% within a week after the company announced its pivot to an Ethereum treasury strategy in mid-2025, briefly approaching $80.

Since then, the price has retreated significantly and is down more than 50% over the past six months, though it remains about 67% higher than a year ago.

The results highlight both the opportunities and risks associated with corporate strategies that heavily rely on cryptocurrency reserves.