Sharplink Gaming announced plans to deploy $200 million worth of ether (Eth) from Corporate Treasury to Consensys’ Linea Network.
The company said the multi-year initiative will use the ZKEVM layer-2 line infrastructure to generate onchain yield and increase the efficiency of its ETH holdings. According to Tuesday Press Releasethe strategy aims to capture “highly competitive, differentiated, adjustable ETH-modified returns.”
Sharplink plans to generate yields from staking, restoring rewards earned by helping to secure EigenCloud’s decentralized verification service (AVSS), and incentives from Linea and Ether.fi – a decentralized liquid staking and restoring protocol.
Staking refers to the locking of cryptocurrencies to help secure a blockchain network in exchange for rewards. Restoring builds on that idea by allowing users to reuse or “rest” their staked assets to support additional decentralized services and earn extra rewards.
The $200 million expansion is being managed under institutional custodianship by Anchorage Digital Bank, Sharplink’s qualified custodian.
Sharplink is currently the second largest corporate holder of ETH, with 859,853 ETH worth about $3.57 billion, or 0.71% of the total supply, according to Coingecko Data. The planned expansion represents approximately 5.6% of its Treasury.
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Defi ani techniques
Sharplink is not alone in turning to decentralized finance to boost onchain returns.
On September 2, Ethzilla (ETHZ) announced It will put $100 million of eth on ether.fi to enhance the yield on Treasury holdings. Ethzilla is currently the fifth largest Ethereum Digital Asset Treasury (DAT), holding 102,326 Eth At the time of writing.
In February the Ethereum Foundation, the nonprofit that supports Ethereum’s core development and ecosystem, Deployed 45,000 Eth in defi protocols, including spark and compound. The Treasury of the Foundation policy Since June plans have been revealed to move beyond passive holdings through staking and removing ETH across Defi protocols.
Centralized exchanges have also begun incorporating defi ani strategies. In September, Coinbase has partnered with Defi Lending Protocol Morpho To let users borrow USDC (USDC) StableCoins and earn up to 10.8%.
Less than a month later, Crypto.com Plans were announced to integrate Morpho into the Cronos blockchain, allowing users to deposit wrapped ETH and other assets to earn StableCoin yields through new lending vaults, expected later this year.
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