Upexi Raises $100M For $SOL Treasury - Why Are Public Companies FOMOing into Solana?

Mere weeks after DefiDevCorp announced its majority acquisition of Janover and consequent $40M $SOL acquisition plan, another publicly traded company is jumping on the crypto treasury bandwagon.

Upexi, a consumer brand best known for selling alternative health products, has announced a $100M raise to accumulate Solana for its company treasury.

Which crypto firms are funding Upexi’s unexpected pivot, and why are so many public companies FOMO-ing into Solana?

New Crypto Treasury to Purchase $94M in $SOL

On April 21st, Upexi, a consumer brand, announced its intent to sell over 43.8M (priced at $2.28) shares of its common stock to a group of investment firms as part of a new crypto treasury strategy.

GSR, a prominent crypto investment firm, leads the raise, with support from other high-profile funds, including Big Brain Holdings, Anagram, Delphi Ventures, White Star Capital, Maelstrom, and the family office of Arthur Hayes. Upexi expects to use ~$5.3 million for working capital and debt reduction, with the remaining funds going towards accumulating $SOL.

“This investment highlights the growing demand for efficient, secure access to high-quality crypto assets in public markets. Solana’s speed, scalability, and vibrant developer ecosystem make it an ideal foundation for long-term growth and we are honored to help accelerate the integration of digital assets into institutional portfolios.” - Brian Rudick, GSR Head of Research

Following the path laid down by Janover just weeks earlier, Upexi stock has exploded following the announcement of its intent to establish a crypto treasury, up 553% in today’s trading. 

The company’s investment and support of Solana has been met with enthusiasm by its constituents, with Foundation President Lily Liu highlighting the narrowing divide between TradFi and DeFi.

“It’s encouraging to see institutions exploring blockchain infrastructure in meaningful ways. GSR and Upexi’s announcement highlights growing interest in using Solana for real-world financial applications, and it’s another signal of how traditional finance and DeFi are starting to intersect.” - Lily Liu, Solana Foundation President

TradFi Accumulates $SOL Before ETF Approvals

With Sol Strategies, DefiDevCorp (Janover), and now Upexi projected to collectively own over $171M worth of $SOL following successful purchases, one could argue that TradFi firms are clamoring to get Solana on their balance sheets.

Building off the success of Micheal Saylor’s Strategy playbook, the ‘Crypto Treasury Company’ is rapidly becoming a common financial entity. Public traded companies are FOMOing into Solana, likely trying to accumulate as much $SOL as possible ahead of Spot Solana ETF listings in the United States.

Within one week of launch, Canadian-based $SOL ETFs are witnessing impressive inflows. 3iQ, a Canadian firm, has announced its SOLQ fund has become Canada’s largest $SOL ETF, boasting over $90M CAD in AUM. 3iQ’s Solana fund is now larger than its Ethereum ETF, which holds ~$52M CAD in AUM.

Following VanEck’s initial $SOL ETF filing in June 2024, GSR, the leader behind Upexi’s $100M raise, theorized that US-based Solana ETF approvals and consequent inflows could see Solana surge as much as 8.9x.

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