Digital Assets Firms Seek $1B for Largest-Ever Solana Treasury

Galaxy Digital, Multicoin Capital and Jump Crypto are in discussions with potential investors on the effort, which would create the largest treasury centered around the Solana token, Bloomberg reported Monday (Aug. 25), citing unnamed sources.

A deal would join three major players in the crypto sector, who would command a reserve more than twice the size of the largest Solana-focused one, the report said.

The Solana Foundation, a Switzerland-based nonprofit, has endorsed the effort, and the transaction is expected to close early next month, according to the report.

Solana first came to prominence after being promoted by former FTX head — and now convicted fraudster — Sam Bankman-Fried, the report said. After FTX’s collapse in 2022, the continued survival of Solana was in question, although it later rebounded as the favorite blockchain for meme coin issuers.

Multicoin and Jump have already “invested heavily” in Solana’s ecosystem, while Galaxy Trading raised about $620 million for a fund set up to purchase Solana from the FTX estate in 2024, according to the report.

Meanwhile, Dave Merin, co-founder and CEO of The Ether Machine, told PYMNTS this month about his company’s plans to amass a war chest of more than $1.5 billion in Ethereum. The Ether Machine has spent close $100 million to purchase more of the increasingly popular cryptocurrency.

“Everything we’re doing is built to be institutional grade from day one,” Merin said. “No legacy liabilities, no operating distractions — just exposure to the most important digital asset since bitcoin, but done in a way that’s dynamic, thoughtful and structurally superior.”

This is something familiar to industry observers, only with a different asset class involved. When MicroStrategy’s Michael Saylor turned a software company into a bitcoin holding operation in 2020, he helped kick off an institutional wave of BTC accumulation. Saylor issued debt, sold equity and used the proceeds to purchase bitcoin, using the capital markets to bolster crypto exposure.

“The Ether Machine team believes that Ethereum has the potential to be leveraged more actively than Bitcoin when managed in a publicly traded treasury structure, resulting in a wide array of financial opportunities through the generation of ETH-denominated yield,” PYMNTS wrote Aug. 7.