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Injective, the Ethereum financial strategy company Sharp Link's shares are tokenized.
The layer 1 blockchain "Injective" (INJ), specializing in the financial sector and aiming for the fastest performance, announced on the 24th that it will tokenize the shares of the treasury (financial strategy) company SharpLink Gaming (SBET) for the cryptocurrency Ethereum (ETH).
It is a release of the on-chain token "SBET" which will become an on-chain digital asset treasury (DAT). Injective explains as follows.
This is a completely new asset class that can support programmable finance from day one. "SBET" transforms a company's static Ethereum reserves into a living on-chain product that generates yields.
SBET DAT is built using Injective's real-world asset (RWA) tokenization framework "iAssets", which allows for the creation of RWA assets with utility from the start.
The recent movement of Injective is taking place at the intersection of two accelerating trends in cryptocurrency: the tokenization of real assets such as stocks and the cryptocurrency financial strategies employed by companies.
What is RWA?
An abbreviation for "Real World Asset (RWA)". Physical assets such as real estate, art pieces, and trading cards, as well as financial securities like stocks and bonds, are included in RWAs that are tokenized on-chain. The potential for tokenizing RWAs has also attracted the attention of major asset management firms like BlackRock.
"iAssets" can be integrated into various financial applications such as automated trading strategies, structured products, and lending protocols.
The "SBET" built through this will also provide holders with staking yields, real-time trading, collateral in DeFi (decentralized finance) strategies, expansion into the lending market, and integration into derivatives and structured products.
SharpLink Gaming, listed on NASDAQ, is one of the largest holders of Ethereum in the world.
The current holdings have reached approximately 360,000 ETH (equivalent to 196 billion yen in market value), surpassing the amount held by the Ethereum Foundation, which promotes the Ethereum ecosystem.
On the 15th, it was reported that since the start of the financial strategy on June 2, a total of 415 ETH has been earned as staking rewards. The company's stock has increased by approximately 190% year-to-date.
On the other hand, Bitmine Immersion Technologies, listed in the US, announced on July 24 that its Ethereum holdings surpassed 566,776 ETH (valued at 308 billion yen). It has overtaken SharpLink to become the world's largest holder of Ethereum.
Matt Hogan, the Chief Investment Officer (CIO) of Bitwise, pointed out on the 23rd that the rise of Ethereum is driven by demand from companies adopting Ethereum ETFs (Exchange-Traded Funds) and Ethereum financial strategies.
Related: How to Buy Ethereum | Investment Benefits, Risks, and Recommended Exchange Choices for Beginners