Institutional demand for Solana is on the rise as major players continue to invest heavily in the token, with Galaxy Digital leading the pack in acquiring significant amounts of SOL.
Galaxy Digital recently made a substantial purchase of 2.2 million SOL, valued at approximately $486 million, to support a newly-established Solana treasury vehicle. This move is part of a broader initiative by Galaxy Digital to establish a dedicated Solana treasury company through Forward Industries, in partnership with Multicoin Capital and Jump Crypto. The company recently closed a $1.65 billion private placement to fund Solana acquisitions, positioning itself for long-term accumulation of SOL.
Data from on-chain data tracker Lookonchain reveals that Galaxy Digital sourced the SOL from major exchanges, with significant amounts transferred from Binance and Coinbase hot wallets into Galaxy Digital’s custody. This strategic acquisition follows reports of Galaxy’s plan to build a substantial Solana treasury operation, signaling a strong commitment to the Solana ecosystem.
The institutional Solana treasuries landscape is expanding, with a total of 10.27 million SOL, valued at $2.44 billion, held across multiple entities. This figure represents around 1.79% of Solana’s total supply, indicating a growing interest from institutions in holding SOL for the long term. Leading the pack in terms of holdings are Sharps Technology and DeFi Development Corp, with significant investments in SOL.
The continuous growth of institutional Solana treasuries reflects a trend of institutions adding Solana to their balance sheets, driving up demand for the token. SOL’s price performance has also been impressive, trading at around $237.2 with a 6.27% increase in the past 24 hours and a 16.13% rise over the last week. With institutions doubling down on their Solana treasury strategies, there is a strong possibility of SOL prices testing key resistance levels and potentially moving higher.
Overall, the influx of institutional demand for Solana is expected to support price growth and further solidify Solana’s position in the digital asset market.