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DeFi Development Buys $16M SOL at $111, But Stock Value Per Share Drops 25%

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DeFi Development Corp. purchased 86,307 SOL for roughly $16 million at a median value of $110.91, rising its treasury by 4.7% to 2,195,926 SOL price $426 million.

However, the Nasdaq-listed agency’s SOL per share metric dropped to $14.67 from $19.44 recorded in September, a 25% decline regardless of the buildup.

The firm reported 28,888,178 shares excellent, though the determine contains 2,803,058 pre-funded warrants which have already been exercised, with 2,978,578 warrants remaining.

Including all warrants, the adjusted share rely reaches roughly 31.9 million, creating dilution that outpaced treasury progress.

DeFi Development acknowledged it doesn’t anticipate SOL per share falling under the pre-financing degree of 0.0675 “even after full warrant affect—reinforcing continued SPS progress.“

The newly acquired SOL might be staked to validators, together with the corporate’s personal infrastructure, to generate native yield.

The treasury decline adopted broader struggles throughout digital asset treasury firms.

Metaplanet’s shares dropped 70% from mid-June highs, with its enterprise worth falling under Bitcoin reserves as mNAV hit 0.99.

1 / 4 of all public Bitcoin holders now trade at market values under their holdings.

Crypto Treasury mNAV Premiums Compress Sector-Wide

DeFi Development ranks among the many three largest public Solana holders, although Forward Industries leads with practically 7 million tokens, greater than the subsequent three largest treasuries mixed.

Institutional Solana holdings exceed $3 billion throughout 20 members, representing about 3.52% of the circulating provide.

The firm’s inventory efficiency contrasts with its aggressive accumulation technique.

Shares stay up 1,898% year-to-date however commerce 61% under their May peak of $35.53, a sample noticed throughout digital asset treasuries going through valuation compression.

K33 Research studies that the average mNAV across treasury firms dropped from 3.76 in April to 2.8, whereas day by day Bitcoin accumulation slowed to 1,428 BTC in September, the weakest tempo since May.

Monthly company adoption has additionally declined by 95% since July, with only one firm adopting Bitcoin in September, in comparison with 21 in July.

Strategy Inc.’s mNAV premium crashed from 3.89x in November 2024 to 1.44x following IBIT ETF choices launch.

The bellwether agency’s month-to-month Bitcoin purchases plummeted from 134,000 BTC to three,700 BTC in August 2025, though it holds 640,250 BTC, with unrealized positive aspects of over $24 billion.

Buyback Programs and Warrant Dilution Create Competing Pressures

DeFi Development expanded its share repurchase program to $100 million in September, up from an preliminary authorization of $1 million.

The board authorized versatile buybacks underneath Rule 10b-18, with an preliminary $10 million threshold requiring administration notification earlier than continuing.

The firm has raised $42 million since April to fund its Solana technique via a $5 billion fairness line of credit score, with solely 0.4% of the quantity utilized.

It lately closed a $125 million equity raise whereas concurrently pursuing buybacks, creating competing pressures on share worth.

DeFi Development was based by former Kraken staff and executes a method of shopping for and staking SOL and Solana-related tokens, together with Dogwifhat memecoin.

The agency gives validator providers for crypto change Kraken and participates in DeFi alternatives throughout Solana’s ecosystem.

As a results of these broader issues with digital asset treasuries, a number of treasury firms resorted to debt-funded buybacks.

ETHZilla secured $80 million from Cumberland DRW for a $250 million buyback after its worth fell 76% from August peaks.

Empery Digital expanded its debt facility to $85 million, regardless of holding $476 million in Bitcoin, which exceeds its $378 million market cap.

Particularly for property with out yields, equivalent to Bitcoin, VanEck has beforehand warned in June that firms approaching parity with their holdings danger “erosion” fairly than “capital formation,” recommending that they pause share issuances if shares commerce under 0.95x NAV for 10 or extra buying and selling days.

Just final month, Coinbase Research additionally warned that the treasury sector is transitioning from assured premiums to a “player-versus-player” aggressive section, the place most members face potential failure throughout opposed credit score cycles.

The put up DeFi Development Buys $16M SOL at $111, But Stock Value Per Share Drops 25% appeared first on Cryptonews.

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