Solana treasury firm Sharps Technology unveils $100M stock buyback

Sharps Technology, one of the leading Solana treasury companies, announced a $100M buyback of its common stock. The deal will boost Sharps Technology shares with a mix of open-market and negotiated purchases.

Sharps Technology, Inc., one of the leading Solana treasuries, announced a plan to buy back its own shares, reinvesting $100M. The buyback will include a mix of open-market and negotiated purchases. Sharps Technology took up its buyback as other DAT stocks were sliding, losing between 40% and 85% from their peak valuations.

To date, Sharps Technology has acquired 2.140M SOL, making it the second-largest DAT company for Solana. Following the repurchase announcement, SSTS shares traded at $6.78, near their lower range for the past six months.

The Sharps Technology treasury has been building up for a little over a month, with $400M in investments. The treasury was launched on September 2, briefly standing out as the largest SOL reserve. Soon after that, Forward Technologies took the lead with over 6.8M in SOL.

Over time, Solana companies acquired 17.80M SOL, of which 11.58M are staked, with 2M added in the past weeks. Solana treasuries are the first to try staking at scale, including liquid staking.

Sharps Technology retains its pharmaceutical product business, after reaching the revenue stage in August.

Sharps Technology to retain entire SOL treasury

The stock buybacks will not affect the SOL reserves, and Sharps Technology does not plan treasury operations for the financing.

DAT companies resort to buybacks to boost their share’s reputation. Crypto fluctuations often mean treasury companies log significant market price losses after the initial phase of enthusiasm.

Recently, DeFi Dev Corp., another high-profile treasury company, also extended its share repurchase program.

Treasury companies rely on a strong holder ethos, so far avoiding contagion and not selling any of the crypto in their treasuries. However, not all treasuries are public, and there are fears some companies may start stock buybacks by selling crypto.

SOL recovers above $225

SOL recovered above $225 after the recent market downturn. The effect of DAT companies on Solana is so far limited, as the chain benefits from other narratives. SOL still erased the gains made while Forward Industries was loading its treasury, with $1.5B poured into the market.

Solana has a growing DeFi sector and stablecoin liquidity, allowing for the generation of passive income and rewards. DAT companies are a way for crypto outsiders to tap some of these rewards, without direct involvement, as the treasury is staked for rewards.

Solana expanded its stablecoin market cap to $14.38B, with USDC the most actively minted token. As a result, DEX trading, lending, and other DeFi apps continue to lead in revenue production and daily activity.