SharpLink and Galaxy Launch $125M On-Chain Yield Fund
SharpLink is deploying $100 million of its Ethereum holdings into a Galaxy-managed fund designed to generate active returns from blockchain strategies.
SharpLink, the second-largest Ethereum DAO, is investing $100 million of its existing Ethereum stock in an on-chain yield fund managed by Galaxy Digital, which is contributing an additional $25 million to bring total committed capital to $125 million.
The fund aims to generate returns by actively deploying capital across blockchain protocols and financial applications rather than holding assets passively. This could include lending, liquidity provision, staking, restaking, or other decentralized finance activities. Galaxy will oversee fund management, evaluate DeFi opportunities, perform due diligence, and manage risks including market volatility, liquidity issues, and smart contract failures.
Mike Novogratz, founder and CEO of Galaxy, characterized the move as part of institutional adoption shifting from passive ownership to active participation in blockchain markets. Joseph Chalom, CEO of SharpLink, described it as a next step in expanding the organisation's Ethereum treasury management strategy.
At the time of reporting, SharpLink held 868,699 ETH valued at $1.66 billion and had accumulated 24,338 ETH in total staking rewards.
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