SOL Strategies raised $500 million through the issuance of convertible bonds to purchase Solana (SOL) tokens.

Source: Cointelegraph Original: "{title}"

The Canadian investment firm SOL Strategies issued $500 million in convertible bonds to purchase and stake Solana tokens.

The $500 million bond issuance is solely aimed at one investor - ATW Partners, an investment firm based in New York. The firm provides growth equity and structured capital for companies in both public and private markets, a spokesperson for SOL Strategies told Cointelegraph.

A spokesperson for SOL Strategies stated that the company focuses on building institutional-grade infrastructure for Solana, rather than reacting to short-term price fluctuations.

According to the announcement on April 23, the earnings generated from staking will be jointly owned by SOL Strategies and ATW Partners. SOL Strategies is a publicly traded company listed on the Canadian Securities Exchange. According to data from Google Finance, the company's stock price rose by 25.3% that day.

"This investment represents significant confidence from institutions in Solana's long-term potential," the spokesperson said. "From an ecosystem perspective, we expect to see multiple positive impacts. First, by increasing the staking amount of our validator network, we will help enhance the security and decentralization of the network."

According to data from StockAnalysis.com, SOL Strategies expects revenue of 10.62 million CAD (7.65 million USD) in 2024, marking a positive turnaround compared to a loss of 15.65 million CAD (11.27 million USD) in 2023.

Companies are rushing into Solana.

SOL Strategies has become the second publicly traded company to announce funding to purchase SOL. On April 21, Upexi disclosed a $100 million financing plan aimed at establishing a Solana reserve.

The DeFi Development Corporation, formerly known as Janover, has also recently announced that it has raised $42 million and plans to create a Solana Reserve Fund.

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