The Nasdaq listed eSports company GameSquare (GAME) announced that it is launching a $100 million Ethereum (ETH) treasury strategy to expand its crypto holdings. The move has sparked buzz within the Ethereum community which is riding a wave of excitement with recent major moves on ETH from established corporations Bit Digital and GameStop.
As per the official announcement, GameSquare is pricing the sale of previously announced public offering of 8,421,054 common shares at a price of $0.95 per share—raising approximately $8.0 million–as a part of its $100 million initiative.
The firm intends to use the proceeds to purchase Ethereum (ETH) amid increasing crypto adoption. Its Board has approved an ETH allocation of up to $100 million, based on staged investments over time while ensuring ample working capital for business operations.
The eSports giant’s ETH-focused strategy involves a yield generation target of 8-14%, significantly higher than standard 3-4% APY rate on native ETH staking. The program is powered by Dialectic’s proprietary platform Medici, which has capabilities to generate best-in-class risk-adjusted returns for the second largest cryptocurrency.
“We’ve partnered with one of the world’s top crypto investment firms to generate real, on-chain yield while deepening our expertise in decentralized finance,” says GameSquare CEO Justin Kenna. “This new treasury management strategy enhances our financial flexibility and allows us to support a defined capital allocation plan that is focused on pursuing additional ETH asset purchases.”
Echoing Bitcoin’s corporate adoption, Ethereum (ETH) has been seeing a corporate treasury trend in a latest timeline which was firstly carved by SharpLink on June 17. The party was later joined by BitMine and Bit Digital with their substantial allocations for ETH.
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