SOL Strategies Secures $500M Convertible Note to Expand Solana Holdings, Share Price Jumps
SOL Strategies (HODL), a digital asset firm listed in Toronto, saw a sharp rise in its share price after announcing that it has secured a $500 million convertible note facility aimed at enhancing its Solana investments and expanding its validator operations.
The company plans to deploy the capital exclusively to acquire additional SOL tokens and grow its blockchain validator business. Following the announcement, HODL shares surged by up to 18%, reaching C$2.16, before easing to a 7% gain from the previous day’s close.
“This facility represents the largest financing ever secured in the Solana ecosystem and is the first directly tied to staking yield,” said Leah Wald, CEO of SOL Strategies. “The funds will generate immediate yield, enhancing both our balance sheet and validator business. This structure is both scalable and innovative.”
The first tranche of $20 million is expected to close by May 1 and was arranged with ATW Partners, a private equity firm based in New York. The interest on the convertible notes will be paid in SOL, based on up to 85% of the staking yield generated from SOL tokens staked with the firm’s validators.
SOL Strategies is also evaluating a potential move to list on the Nasdaq, which would provide access to a larger pool of investors. This follows the path of Galaxy Digital, another Canadian-listed digital asset firm, which is preparing to debut on the Nasdaq in May 2025 after receiving regulatory approval earlier this month.
Founded by Leah Wald, who co-founded Valkyrie Investments, SOL Strategies has been a pioneer in adapting Michael Saylor’s Bitcoin treasury strategy for other cryptocurrencies. As of last month, the firm held 267,151 SOL tokens, valued at more than $40 million. Additionally, the company recently acquired three Solana validator businesses, bringing the total SOL staked across its validators to 3,351,617 SOL, worth over $500 million.
In a similar strategy, DeFi Development Corp, formerly known as Janover, a U.S.-listed real estate firm, has recently adopted a Solana-focused cryptocurrency treasury and validator model inspired by SOL Strategies.
