SOL Strategies Inc. (NASDAQ: STKE), a Canadian investment company focused on accumulating Solana (SOL), recently announced the successful closure of an upsized private placement. The company revealed that it had raised C$30 million by selling nearly 4.4 million shares for C$6.85 per unit.
With the funds secured, SOL Strategies Inc. has set its sights on bolstering its Solana treasury. Michael Hubbard, the company’s interim CEO, stated that the proceeds from the private placement will enable the purchase of approximately 80k SOL coins. These coins will be delegated to the company’s validators to earn passive staking rewards.
SOL Strategies’ move to strengthen its Solana treasury comes at a time when the demand for Solana among institutional investors is on the rise. Data from CoinGecko shows that a total of nine entities from three different countries currently hold around 13.5 million Solana coins, valued at approximately $2.9 billion.
Among the notable Solana treasury companies are Forward Industries, which holds over 6.8 million SOLs valued at around $1.6 billion, as well as DeFi Development, Upexi, Sharps Technology, and BIT Mining.
In a significant development, Beijing-based VisionSys AI recently announced a plan to purchase $2 billion worth of Solana, starting with an initial investment of $500 million.
The price of Solana experienced a 7% rebound on Wednesday, reaching a range high of approximately $220 during the mid North American session. With a fully diluted valuation of about $134 billion, Solana is poised for a potential parabolic rally amidst the bullish sentiment in October.
Crypto analyst Ali Martinez is optimistic about SOL’s price trajectory, believing that it is well-positioned to achieve a new all-time high in the near future after bouncing back from a critical support level around $205.
As Solana continues to gain traction in the market, SOL Strategies Inc.’s strategic move to strengthen its Solana treasury aligns with the growing interest in the cryptocurrency among institutional investors. This proactive approach positions the company to capitalize on the potential upside of Solana as it continues to attract significant attention in the digital asset space.