SOL Strategies, a leading player in the Solana ecosystem, has made a groundbreaking move by announcing a strategic financing facility worth up to $500 million USD in partnership with ATW Partners, a prominent New York-based firm.
The primary purpose of this capital raise is to acquire SOL tokens, which will then be staked on validators operated by SOL Strategies. The innovative structure of the facility allows for the issuance of up to $500 million in Notes, with an initial tranche of $20 million expected to close by May 1, 2025.
What sets this facility apart is its unique connection to staking yield. The interest on the Notes will be paid in SOL, capped at 85% of the staking yield generated by the SOL acquired through the facility. This model creates a self-sustaining financial loop, where every dollar of deployed capital generates yield from day one.
Leah Wald, CEO of SOL Strategies, expressed her excitement about the facility, stating, “This is the largest financing facility of its kind in the Solana ecosystem—and the first ever directly tied to staking yield. Every dollar deployed is immediately accretive to our balance sheet and validator business. This structure is not only innovative—it is highly scalable.”
The deal also includes an option for the conversion of Notes into common shares at prevailing market prices, enhancing potential upside for ATW Partners and aligning incentives across both parties. Cohen & Company Capital Markets is acting as the placement agent for the offering, receiving a 4% finder’s fee.
In recent developments, SOL Strategies has been focusing on expanding its validator network and forming strategic partnerships. The company recently teamed up with Pudgy Penguins to launch the PENGU Validator on Solana, offering staking rewards and strengthening blockchain infrastructure. The PENGU Validator, accessible through the Phantom wallet interface, provides yields ranging from 7% to 11%, depending on network conditions.
Additionally, SOL Strategies made headlines in March 2025 by acquiring three major Solana validators, including Laine and Stakewiz.com. This $24 million deal doubled the company’s total SOL stake to over 3.35 million tokens, valued at approximately $388 million. Michael Hubbard, founder of Laine, has joined SOL Strategies as Chief Strategy Officer, bringing his expertise to optimize validator performance and forge high-value institutional partnerships.
Governance plays a significant role in SOL Strategies’ growth strategy, with all validators voting in favor of a proposal aimed at reducing Solana’s inflation rate. While the proposal narrowly missed the required approval threshold, the company’s commitment to a sustainable ecosystem is evident.
SOL Strategies’ innovative use of convertible notes draws parallels to GameStop’s recent $1.5 billion sale of convertible senior notes. While GameStop plans to use the proceeds to purchase Bitcoin, SOL Strategies takes a more proactive approach by staking SOL and generating ongoing yield. This strategy positions the company at the forefront of Solana’s institutional space, offering long-term upside through validator operations and token appreciation.
Overall, SOL Strategies’ strategic financing facility and focus on staking yield demonstrate its commitment to driving innovation and growth in the Solana ecosystem. The company’s proactive approach to governance and partnerships solidifies its position as a key player in the evolving landscape of institutional staking.