SharpLink Gaming is set to broaden its financial strategies by exploring the option of staking a portion of its substantial Ethereum holdings with the upcoming Linea network. The firm anticipates that the layer-2 network will launch its mainnet on September 10, 2025. Currently, SharpLink is staking nearly all of its Ethereum through custodians such as Anchorage and Coinbase, but is planning to diversify its staking strategies to uncover higher yield opportunities.
Joseph Chalom, co-CEO of SharpLink, confirmed the company’s intentions to engage with the Linea network once it’s operational. “When you hold billions of dollars of ETH and you’re looking at a portfolio of staking, there is going to be an ability to deploy that through staking opportunities on Linea,” he explained. He also emphasized that the decision aligns with both SharpLink’s interests and those of the Linea Consortium, which aims to maximize returns on investment through effective yield generation.
SharpLink is a notable player in the Ethereum ecosystem, holding around 0.69% of the total supply of Ethereum, valued at approximately $3.6 billion. The firm joined the Linea Consortium in July, a collaboration of companies responsible for shepherding the significant distribution of the LINEA token, which is poised to play a critical role in the network’s success. Chalom described the Consortium’s mission as crucial for making Linea a highly effective layer-2 solution, emphasizing their goal to “bootstrap” the network with over 80% of the LINEA supply earmarked for on-chain projects.
The governance of the Linea network is significantly influenced by Consensys, the creator of Linea, which is led by Ethereum co-founder Joe Lubin and includes Chalom on its board. This synergy emphasizes Linea’s commitment to reinforcing Ethereum’s main network through initiatives like native yield on bridged Ethereum and planned Ethereum burns, addressing concerns that layer-2 solutions may detract value from Ethereum’s mainnet.
While the specifics of how much Ethereum SharpLink aims to stake on Linea remain undefined, Chalom is committed to crafting an optimal staking portfolio. “We’re also looking at being liquidity providers to Liquid Collective, which involves liquid staking tokens,” he added, reflecting a strategic intent to leverage both native and liquid staking methodologies.
Chalom reiterated the necessity for the treasury’s Ethereum strategy to focus on capital preservation as the foremost goal, followed by fostering capital appreciation while expanding along the risk spectrum to drive yield. As the firm stands at this critical juncture, it aims for a balanced approach to maximize its Ethereum investments, launching into diverse staking avenues to achieve optimal returns in the evolving crypto landscape.
With Ethereum recently marking a decade of continuous activity while preparing for the integration of the LINEA token, the upcoming mainnet launch is highly anticipated. Early participation in this new ecosystem offers potential opportunities for growth, and the eligibility checker for prospective users is already live, paving the way for new entrants as the launch date approaches.
