Introduction to Solana Treasuries
Galaxy, Jump Crypto, and Multicoin are among the companies that backed Forward Industries’ pivot to Solana. This significant move underscores the growing interest in altcoins among Wall Street investors. On September 8, Forward Industries, a Nasdaq-listed company, announced a $1.65 billion private placement to build its Solana treasury.
Funding and Leadership
The funding round was led by Galaxy Digital, Jump Crypto, and Multicoin Capital, making Forward Industries the largest corporate holder of Solana. In addition to providing funding, executives from the three companies will also advise Forward Industries. Kyle Samani of Multicoin will become Board Chair, while executives from Galaxy and Jump will serve as board observers.
Conviction in Solana’s Potential
According to Michael Pruitt, CEO of Forward Industries, “Solana has emerged as one of the most innovative and widely adopted blockchain ecosystems in the world. Our strategy to build an active Solana treasury program underscores our conviction in the long-term potential of SOL and our commitment to building shareholder value by directly participating in its growth.”
A Significant Pivot
The move to build a Solana treasury represents a significant pivot from Forward Industries’ core business of selling protective cases for electronic and medical equipment. However, the markets reacted positively to the announcement. The company’s shares more than doubled in premarket trading, rising 102%.
Growing Trend of Solana Treasuries
Forward Industries’ announcement is part of a growing trend of companies pivoting to Solana treasuries. As of September 8, there were 13 corporate Solana treasury firms, with total reserves at $1.8 billion. Upexi, DeFi Development Corp, and Sol Strategies are currently the biggest holders.
Recent Developments
Just a week earlier, Sol Strategies received approval for its Nasdaq listing, with trading set to begin on September 9. The company will also continue trading on the Canadian Securities Exchange. This development further highlights the increasing interest in Solana and its potential for growth.
Conclusion
The growing interest in Solana treasuries among companies like Forward Industries, with backing from major players like Galaxy, Jump Crypto, and Multicoin, underscores the potential of altcoins in the market. As more companies pivot to Solana treasuries, it will be interesting to see how this trend develops and its impact on the cryptocurrency market, which can be followed on platforms like bitpulse.