Q2 2025 SharpLink Gaming Ltd Earnings Call

Quarter 2025 earnings press release, which was issued yesterday afternoon at approximately 405 P M Eastern time.

The release is available on the Investor Relations section of sharp links website. This call will also be available for webcast replay on the company's website. Following management's remarks, we will open up the call for Q&A I will now turn the call over to sharply Vice President of corporate Communications Dodi handy for introductory comments.

Well, thank you operator.

Please see <unk> filings with the SEC and the earnings press release, this morning, which lists some of the factors that may cause the results of shock link to differ materially from what we say today and which identify some of the risks and uncertainties that could affect our business prospects and future.

<unk> sharp link assumes no duty and does not undertake to update any forward looking statements.

Made by Us during this call.

This call is based only on information currently available to us and speaks only as of the date when it is may and.

In addition, we may be discussing or providing certain metrics today.

Is east concentration.

That are not GAAP metrics. Please see our earnings press release and SEC filings for further information regarding these metrics.

Speaker #1: Ladies and gentlemen, thank you for your patience, and please remain on the line. The SharPLink Gaming Conference will begin in just a moment. Again, thank you for your patience, and please remain on the line.

Conference Facilitator: Ladies and gentlemen, thank you for your patience and please remain on the line. The SharpLink Gaming Conference will begin in just a moment. Again, thank you for your patience and please remain on the line. Today's conference will begin in just a moment.

Set the agenda for today's call, we're going to begin with sharp links chairman co founder of Cerium and founder and CEO of consensus Joseph Lublin, who will outline the company's mission vision for a variance role in the future of global finance and the macro trends driving sharp link strategy.

Speaker #1: Today's conference will begin in just a moment. Good morning, everyone, and thank you for participating in today's conference call to discuss SharPLink's Q2 2025 financial and operating results.

Next co Chief Executive Officer, Joseph Shalom will discuss sharp links E treasury strategy in detail, including how the company will scale. Its <unk> holdings activate E to generate yield and leverage capital markets to accelerate growth and drive stockholder value.

Mr. Shaw will be followed by our co founder and co Chief Executive Officer, Rob <unk>, who will provide an update on sharp links affiliate marketing business and then finally, Chief Financial Officer, Robert Daily Chia will review the second quarter 2025 financial results and key performance metrics.

<unk> to sharp links East Treasury I would now like to turn the call over to sharpen <unk> Chairman of the board Joseph Rubin or you go Joe.

Thank you Jody and good morning, everyone.

Today marks the start of a new chapter for sharply our first earnings call as the company fully aligned around a single powerful mission to become the world's largest and most trusted picking them Treasury company.

Operator: Good morning, everyone, and thank you for participating in today's conference call to discuss SharpLink's Q2 2025 financial and operating results. By now, everyone should have access to the second quarter 2025 earnings press release, which was issued yesterday afternoon at approximately 4:05 P.M. Eastern Time. The release is available in the Investor Relations section of SharpLink's website. This call will also be available for webcast replay on the company's website. Following management's remarks, we will open up the call for Q&A. I will now turn the call over to SharpLink's Vice President of Corporate Communications, Dodie Handy, for introductory comments.

This earnings call represents the very first opportunity for sharp links leadership to talk with our fellow shareholders.

Speaker #1: By now, everyone should have access to the second quarter 2025 earnings press release, which was issued yesterday afternoon at approximately 4:05 PM Eastern Time.

Launching this exciting new journey together, just a few months ago I'd like to share a brief introduction on myself and provide a look back at theorems origin story.

Speaker #1: The release is available in the Investor Relations section of SharpLink's website. This call will also be available for webcast replay on the company's website.

2014.

Part of an extraordinary group of people, who Cofounded a theorem.

Speaker #1: Following management's remarks, we'll open up the call for Q&A. I will now turn the call over to SharpLink's Vice President of Corporate Communications, Dodi Handi, for introductory comments.

<unk> was around five years old and starting to show signs of anti fragility and staying power and the DRAM is big idea was to create a single blockchain could tower all kinds of different assets at the same time.

Speaker #3: Well, thank you, operator. Please see SharPLink's filings with the SEC and the earnings press release this morning, which lists some of the factors that may cause the results of SharPLink to differ materially from what we say today, and which identify some of the risks and uncertainties that could affect our business, prospects, and future results.

Dodie Handy: Thank you, Operator. Please see SharpLink's filings with the SEC and the earnings press release this morning, which lists some of the factors that may cause the results of SharpLink to differ materially from what we say today and which identify some of the risks and uncertainties that could affect our business prospects and future results. SharpLink assumes no duty and does not undertake to update any forward-looking statements made by us during this call. This call is based only on information currently available to us and speaks only as of the date when it is made. In addition, we may be discussing or providing certain metrics today, such as ETH concentration, that are not GAAP metrics. Please see our earnings press release and SEC filings for further information regarding these metrics.

If you could have all kinds of different assets on the same blockchain and maybe they could interact drug programs, we call them smart contracts to control that interaction and put those on the blockchain to <unk>.

The vision was the bitcoin was the world's first digital asset.

<unk> would be the world's first digital economy and that evolution has played out pretty much as we envisioned.

Speaker #3: SharPLink assumes no duty and does not undertake to update any forward-looking statements made by us during this call. This call is based only on information currently available to us and speaks only as of the date when it is made.

Before theorem launched I founded consensus AGM later consensus software incorporated to be a commercial counterparts to the nonprofit and foundation.

Sensus introduced products like meta mosque, which is now the most popular crypto wallet in the world and into Europe, which is the most popular way for developers to access a theorem and other block genes.

Speaker #3: In addition, we may be discussing or providing certain metrics today, such as ease of concentration, that are not GAAP metrics. Please see our earnings press release and SEC filings for further information regarding these metrics.

Sensus has been a major builder and operator of the theory and protocol since the early days, we capitalized global adoption of the theorem.

Speaker #3: To set the agenda for today's call, we're going to begin with SharPLink's chairman, co-founder of Ethereum, and founder and CEO of ConsenSys, Joseph Lubin, who will outline the company's mission, vision for Ethereum's role, and the future of global finance, as well as the macro trends driving SharPLink's strategy.

Dodie Handy: To set the agenda for today's call, we are going to begin with SharpLink's Chairman, Co-Founder of Ethereum, and Founder and CEO of Consensys, Joseph Lubin, who will outline the company's mission, vision for Ethereum's role in the future of global finance, and the macro trends driving SharpLink's strategy. Next, Co-Chief Executive Officer, Joseph Shalom, will discuss SharpLink's ETH treasury strategy in detail, including how the company will scale its ETH holdings, activate ETH to generate yield, and leverage capital markets to accelerate growth and drive stockholder value. Mr. Shalom will be followed by our Co-Founder and Co-Chief Executive Officer, Rob Tithian, who will provide an update on SharpLink's affiliate marketing business. Finally, Chief Financial Officer, Robert De Lucia, will review the second quarter 2025 financial results and key performance metrics related to SharpLink's ETH treasury.

Incubated and invested in hundreds of the theorem native startups and helped to pioneer new technologies like staking smart contracts and zero knowledge proofs that are scaling at purion today.

On July 30th just two weeks ago and marked the 10th anniversary of theorems launch by ringing the NASDAQ closing Bell with my friend bankruptcy piece. The protocol architecture co lead from the theorem Foundation as part of the global celebration of the network and ecosystem that took place around the world.

Speaker #3: Next, co-Chief Executive Officer Joseph Shalom will discuss SharpLink's ETH treasury strategy in detail, including how the company will scale its ETH holdings, activate ETH to generate yield, and leverage capital markets to accelerate growth and drive stockholder value.

<unk> shared with US that this was the largest activation of the year for them and I'm not surprised this is another data point, indicating the traditional finance is onboarding too decentralized finance today, if the unsecured hundreds of billions of dollars in digital assets processes trillions of dollars of transactions each year and is home.

Speaker #3: Mr. Shalom will be followed by our Co-Founder and Co-Chief Executive Officer, Rob Fithian, who will provide an update on SharPLink's affiliate marketing business. Finally, Chief Financial Officer Robert De Lucia will review the second quarter 2025 financial results and key performance metrics related to SharPLink's ETH treasury.

Products from Wall Street Titans, like Blackrock Fidelity, Apollo Franklin Templeton J P. Morgan and many others will begin in 2015 as a bold vision for decentralized computation has grown into the foundation of a multi trillion dollar opportunity spanning define stable coins token nice to ask.

Speaker #3: I would now like to turn the call over to SharpLink's Chairman of the Board, Joseph Lubin. There you go, Joe.

Dodie Handy: I would now like to turn the call over to SharpLink's Chairman of the Board, Joseph Lubin. There you go, Joe.

Speaker #4: Thank you, Dodi, and good morning, everyone. Today marks the start of a new chapter for SharPLink, our first earnings call as a company fully aligned around a single powerful mission: to become the world's largest and most trusted Ethereum treasury company.

Joseph Lubin: Thank you, Dodie, and good morning, everyone. Today marks the start of a new chapter for SharpLink Gaming Inc. Our first earnings call is a company fully aligned around a single powerful mission: to become the world's largest and most trusted Ethereum treasury company. This earnings call represents the very first opportunity for SharpLink Gaming Inc.'s leadership to talk with our fellow shareholders since launching this exciting new journey together just a few months ago. I would like to share a brief introduction on myself and provide a look back at Ethereum's origin story. In 2014, I was part of an extraordinary group of people who co-founded Ethereum. Bitcoin was around five years old and starting to show signs of antifragility and staying power. Ethereum's big idea was to create a single blockchain that could power all kinds of different assets at the same time.

Sets and more.

From boot strapping, a small developer community to powering trillions in economic activity.

This growth has been exponential for a decade and we're still just getting started.

Speaker #4: This earnings call represents the very first opportunity for SharpLink's leadership to talk with our fellow shareholders since launching this exciting new journey together just a few months ago.

So those who are unfamiliar Jeremy is the technology platform that sits underneath most of the stable coins and other digital assets in the world and gives them the ability to do what they do so the fact that they settle in real time. The fact that Theyre border lists the fact that theyre programmable all the things that make digital assets great that comes from a theory.

Speaker #4: I'd like to share a brief introduction on myself and provide a look back at Ethereum's origin story. In 2014, I was part of an extraordinary group of people who co-founded Ethereum. Bitcoin was around five years old and starting to show signs of anti-fragility and staying power.

It's a decentralized technology like the internet that acts like a public utility and does that so well because it's become with CNBC calls wall Street's invisible backbone.

Speaker #4: Ethereum's big idea was to create a single blockchain that could power all kinds of different assets at the same time. If you could have all kinds of different assets on the same blockchain, then maybe they could interact.

Beating heart of all of this activity is a revolutionary decentralized trust system called proof of stake that allows us.

Joseph Lubin: If you could have all kinds of different assets on the same blockchain, then maybe they could interact. You could write programs—we call them smart contracts—to control that interaction and put those on the blockchain, too. The vision was that if Bitcoin was the world's first digital asset, Ethereum would be the world's first digital economy. That evolution has played out pretty much as we envisioned. Before Ethereum launched, I founded Consensys AG and later Consensys Software Incorporated to be a commercial counterpart to the nonprofit Ethereum Foundation. Consensys introduced products like MetaMask, which is now the most popular crypto wallet in the world, and Infura, which is the most popular way for developers to access Ethereum and other blockchains. Consensys has been a major builder and operator of the Ethereum protocol since the early days.

To secure and validate all of these different transactions and at the heart of proof of stake as ether or native digital asset theorem.

Speaker #4: You could write programs, we call them smart contracts, to control that interaction and put those on the blockchain too. The vision was that if Bitcoin was the world's first digital asset, Ethereum would be the world's first digital economy.

He is an extraordinary asset it's an excellent store value. It has been deflationary and multiple points in time when staked it earns a productive real yield of approximately 3% and it's also a growth asset historically is market cap has grown by about $1 for every $2 of.

Speaker #4: And that evolution has played out pretty much as we envisioned. Before Ethereum launched, I founded ConsenSys AG and later ConsenSys Software Incorporated to be a commercial counterpart to the nonprofit Ethereum Foundation.

Speaker #4: Consensus introduced products like MetaMask, which is now the most popular crypto wallet in the world, and Infura, which is the most popular way for developers to access Ethereum and other blockchains.

High quality liquid assets secured on a tear them later ones and later twos.

<unk> macro opportunity is real and we believe it's still very early in its lifecycle for perspective stable coins today of a total market cap of around $240 billion with the U S Treasury Secretary Scott.

Speaker #4: Consensus has been a major builder and operator of the Ethereum protocol since the early days. We catalyzed global adoption of Ethereum, incubated and invested in hundreds of Ethereum-native startups, and helped pioneer new technologies like staking, smart contracts, and zero-knowledge proofs.

Joseph Lubin: We catalyzed global adoption of Ethereum, incubated and invested in hundreds of Ethereum native startups, and helped pioneer new technologies like staking, smart contracts, and zero-knowledge proofs that are scaling Ethereum today. On July 30th, just two weeks ago, I marked the 10th anniversary of Ethereum's launch by ringing the NASDAQ closing bell with my friend Dankrad Feist, the protocol architecture co-lead from the Ethereum Foundation, as part of a global celebration of the network and the ecosystem that took place around the world. NASDAQ shared with us that this was the largest activation of the year for them, and I am not surprised. This is another data point indicating that traditional finance is onboarding to decentralized finance.

Simply stated the two trillion dollars is a very very reasonable market cap for dollar back stable coins by 2028, and he could see it greatly exceeding that.

Speaker #4: That are scaling Ethereum today. On July 30th, just two weeks ago, I marked the 10th anniversary of Ethereum's launch by ringing the NASDAQ closing bell with my friend Bankrud Piest, the protocol architecture co-lead from the Ethereum Foundation, as part of a global celebration of the network and ecosystem that took place around the world.

<unk> securities around $25 billion today, but are projected by Boston consulting group and others to reach up to 16 trillion by 2030.

We believe sharp links each treasury strategy positions us at the center of this multi trillion dollar shift, giving our stockholders exposure to one of the most disruptive trends in capital market's history.

Speaker #4: NASDAQ shared with us that this was the largest activation of the year for them, and I'm not surprised. This is another data point indicating that traditional finance is onboarding to decentralized finance.

This is a structural opportunity on the same scale as the Bretton Woods accorded Nixon's closing of the Golden window, and $19 71, which laid the foundation for decades of falling U S Treasury rates and rising bond prices are on the same skills that object Japan's boom and bust in the Eighty's Ninety's, which set up three decades of low interest.

Speaker #4: Today, Ethereum secures hundreds of billions of dollars in digital assets, processes trillions of dollars of transactions each year, and is home to products from Wall Street titans like BlackRock, Fidelity, Apollo, Franklin Templeton, JP Morgan, and many others.

Joseph Lubin: Today, Ethereum secures hundreds of billions of dollars in digital assets, processes trillions of dollars of transactions each year, and is home to products from Wall Street titans like BlackRock, Fidelity, Apollo, Franklin Templeton, JPMorgan, and many others. What began in 2015 as a bold vision for decentralized computation has grown into the foundation of a multi-trillion-dollar opportunity spanning DeFi, stablecoins, tokenized assets, and more. From bootstrapping a small developer community to powering trillions in economic activity, Ethereum's growth has been exponential for a decade, and we're still just getting started. For those who are unfamiliar, Ethereum is the technology platform that sits underneath most of the stablecoins and other digital assets in the world and gives them the ability to do what they do.

Right, Yeah borrowing for carry trades at this moment, we're positioned to benefit from our multi decade progression towards a digitized and decentralized economy, a shift that has accelerated since the inception of bitcoin and is now gaining meaningful institutional adoption and legislative support this will put a.

Speaker #4: We'll begin in 2015, as a bold vision for decentralized computation has grown into the foundation of a multi-trillion-dollar opportunity spanning DeFi, stablecoins, tokenized assets, and more.

Speaker #4: From bootstrapping a small developer community to powering trillions in economic activity, Ethereum's growth has been exponential for a decade, and we're still just getting started.

Persistent bid under digital assets like <unk> and bitcoin.

Leading the drive to decentralization mismatch.

This macro shift from intermediate platforms through digital decentralized systems, there's power in what we believe will be one of the most significant capital market transformations in history legislators in the U S or writing new rules for web three the re decentralization of the worldwide web and Paul Atkinson Hester purse just.

Speaker #4: For those who are unfamiliar, Ethereum is the technology platform that sits underneath most of the stablecoins and other digital assets in the world and gives them the ability to do what they do.

Speaker #4: So the fact that they settle in real time, the fact that they're borderless, the fact that they're programmable—all the things that make digital assets great—that comes from Ethereum.

Joseph Lubin: The fact that they settle in real time, the fact that they're borderless, the fact that they're programmable, all the things that make digital assets great, that comes from Ethereum. It's a decentralized technology like the internet that acts like a public utility and does that so well that it's become what CNBC calls Wall Street's invisible backbone. The beating heart of all this activity is a revolutionary decentralized trust system called Proof of Stake that allows Ethereum to secure and validate all these different transactions. At the heart of Proof of Stake is Ether, or ETH, the native digital asset of Ethereum. ETH is an extraordinary asset. It's an excellent store value. It has been deflationary at multiple points in time. When staked, it earns a productive real yield of approximately 3%, and it's also a growth asset.

We ended the FCC's project crypto to accelerate market structure in this direction.

Speaker #4: It's a decentralized technology, like the internet, that acts like a public utility and does that so well that it's become what CNBC calls Wall Street's invisible backbone.

As investors recognize this dynamic and the paradigm shift that is underway, we're seeing a major surge in institutional interest in adoption.

Speaker #4: The beating heart of all this activity is a revolutionary decentralized trust system called Proof of Stake that allows Ethereum to secure and validate all these different transactions.

Is rapidly emerging as the core institutional functional and productive digital asset and a theorem as the emerging rails for institutions acid issuers builders and even AI agents with demand accelerating seemingly every day.

Speaker #4: And at the heart of Proof of Stake is Ether, or ETH, the native digital asset of Ethereum. ETH is an extraordinary asset. It's an excellent store of value; it has been deflationary at multiple points in time. When staked, it earns a productive real yield of approximately 3%, and it's also a growth asset.

To further discuss how sharply is uniquely positioned to capitalize on this generational market opportunity I'd like to turn the call over to our newly appointed co Chief Executive Officer, Joseph <unk> Joseph.

Thank you Joe and good morning, everyone.

Speaker #4: Historically, ETH's market cap has grown by about $1 for every $2 of high-quality liquid assets secured on Ethereum Layer 1 and Layer 2s. The ETH macro opportunity is real, and we believe it's still very early in its life cycle.

Joseph Lubin: Historically, ETH's market cap has grown by about $1 for every $2 of high-quality liquid assets secured on Ethereum Layer 1 and Layer 2s. The ETH macro opportunity is real, and we believe it's still very early in its life cycle. For perspective, stablecoins today have a total market cap of around $240 billion, with the U.S. Treasury Secretary, Scott Bessant, recently stating that $2 trillion is a very, very reasonable market cap for dollar-backed stablecoins by 2028. He could see it greatly exceeding that. Tokenized securities are around $25 billion today, but are projected by Boston Consulting Group and others to reach up to $16 trillion by 2030. We believe SharpLink’s ETH treasury strategy positions us at the center of this multi-trillion-dollar shift, giving our stockholders exposure to one of the most disruptive trends in capital markets' history.

I joined sharply because they see a powerful opportunity to continue shaping the next generation of financial infrastructure.

The world is changing and sharply through its a theory and treasury strategy and ecosystem activities is positioned to lead that change.

Speaker #4: For perspective, stablecoins today have a total market cap of around $240 billion, with U.S. Treasury Secretary Scott Bessant recently stating that $2 trillion is a very, very reasonable market cap for dollar-backed stablecoins by 2028.

As Joe mentioned earlier, our mission is to become the world's largest and most trusted a theory Treasury company.

This is a company built on institutional grade principles for one purpose to unlock a theory and full potential and put it to work for investors.

Speaker #4: And he could see it greatly exceeding that. Tokenized securities are around $25 billion today, but are projected by Boston Consulting Group and others to reach up to $16 trillion by 2030.

Thrilled to be part of it.

<unk> commitment to aligning our strategic direction with the theorem ecosystem reflect the bold and forward looking vision.

One that deeply resonates with my passion for digital assets and scaling innovative financial technologies.

Speaker #4: We believe SharPLink's ETH treasury strategy positions us at the center of this multi-trillion-dollar shift, giving our stockholders exposure to one of the most disruptive trends in capital markets history.

Prior to joining sharply I spent nearly two decades at Blackrock, where I served in senior leadership roles, helping scale, Blackrock Aladdin portfolio and risk management system, one of the largest platforms for the entire buy side community and Architected Blackrock digital asset efforts.

Speaker #4: This is a structural opportunity on the same scale as the Bretton Woods Accord and Nixon's closing of the gold window in 1971, which laid the foundation for decades of falling U.S. Treasury rates and rising bond prices.

Joseph Lubin: This is a structural opportunity on the same scale as the Bretton Woods Accord and Nixon's closing of the Gold Window in 1971, which laid the foundation for decades of falling U.S. Treasury rates and rising bond prices. We are on the same scale as that of Japan's boom and bust in the '80s and '90s, which set up three decades of low-interest rate yen borrowing for carry trades. At this moment, we are positioned to benefit from a multi-decade progression towards a digitized and decentralized economy, a shift that has accelerated since the inception of Bitcoin and is now gaining meaningful institutional adoption and legislative support. This will put a persistent bid under digital assets like ETH and Bitcoin that are leading the drive to decentralization.

Over the last five years of my tenure at Blackrock I focused on setting the strategy and executing Blackrock digital asset efforts.

Speaker #4: We're on the same scale as that of Japan's boom and bust in the '80s and '90s, which set up three decades of low interest rate yen borrowing for carry trades.

Hope to bring institutional grade crypto strategies to traditional finance and institutional investors.

Speaker #4: At this moment, we're positioned to benefit from a multi-decade progression towards a digitized and decentralized economy, a shift that has accelerated since the inception of Bitcoin and is now gaining meaningful institutional adoption and legislative support.

This included several landmark product innovations, notably.

The warrants last January 2024 of the ice shares a coin trust hybrid the world's largest spot they coin ETF with approximately 85 billion in assets. The launch last July 2024 of the ice shares a theory amtrust ether, which is now the world's large.

Speaker #4: This will put a persistent bid under digital assets like ETH and Bitcoin that are leading the drive to decentralization. This macro shift from intermediated platforms to digital decentralized systems is powering what we believe will be one of the most significant capital market transformations in history.

Joseph Lubin: This macro shift from intermediated platforms to digital decentralized systems is powering what we believe will be one of the most significant capital market transformations in history. Legislators in the U.S. are writing new rules for Web3, the re-decentralization of the World Wide Web, and Paul Atkins and Hester Peirce just initiated the SEC's Project Crypto to accelerate market structure in this direction. As investors recognize this dynamic and the paradigm shift that is underway, we are seeing a major surge in institutional interest and adoption. ETH is rapidly emerging as the core institutional, functional, and productive digital asset, and Ethereum as the emerging rails for institutions, asset issuers, builders, and even AI agents, with demand accelerating seemingly every day.

Spot ETF and manages approximately $14 billion in assets.

Speaker #4: Legislators in the U.S. are writing new rules for Web3, the redecentralization of the worldwide web, and Paul Atkins and Hester Peirce just initiated the SEC's Project Crypto to accelerate market structure in this direction.

And finally, the launch of <unk>, the world's largest token is U S. Treasury fund built on this area.

My overarching mission through these efforts with the bridge to the world of traditional finance with a crypto ecosystem and its vibrant community.

Speaker #4: As investors recognize this dynamic and the paradigm shift that is underway, we're seeing a major surge in institutional interest in adoption. ETH is rapidly emerging as the core institutional functional and productive digital asset, with Ethereum as the emerging rails for institutions, asset issuers, builders, and even AI agents.

These efforts were built through deep collaboration with industry partners like NASDAQ Coinbase securitize encourage digital and others, who are building a robust ecosystem to support these innovative digital asset products.

Sharply my goal is to provide investors with the smartest way to benefit from the long term <unk> opportunity.

Speaker #4: With demand accelerating seemingly every day, to further discuss how SharpLink is uniquely positioned to capitalize on this generational market opportunity, I'd like to turn the call over to our newly appointed co-Chief Executive Officer, Joseph Shalom.

Joseph Lubin: To further discuss how SharpLink is uniquely positioned to capitalize on this generational market opportunity, I would like to turn the call over to our newly appointed Co-Chief Executive Officer, Joseph Shalom. Joseph?

We are in the early stages of a strategy designed to give stockholders institutional grade risk manage the exposure to east and its yield.

Speaker #4: Joseph?

Our efforts are backed by best in class transparency and reporting.

Speaker #5: Thank you, Joe, and good morning, everyone. I joined SharPLink because I see a powerful opportunity to continue shaping the next generation of financial infrastructure.

Joseph Shalom: Thank you, Joe, and good morning, everyone. I joined SharpLink Gaming Inc. because I see a powerful opportunity to continue shaping the next generation of financial infrastructure. The world is changing, and SharpLink Gaming Inc., through its Ethereum treasury strategy and ecosystem activities, is positioned to lead that change. As Joe mentioned earlier, our mission is to become the world's largest and most trusted Ethereum treasury company. This is a company built on institutional-grade principles for one purpose: to unlock Ethereum's full potential and put it to work for investors. I am thrilled to be part of it. SharpLink Gaming Inc.'s commitment to aligning its strategic direction with the Ethereum ecosystem reflects a bold and forward-looking vision, one that deeply resonates with my passion for digital assets and scaling innovative financial technologies.

And we're going to be doing it in a way that strengthens the theory and network and creates enduring value for our stockholders.

Speaker #5: The world is changing, and SharPLink, through its Ethereum treasury strategy and ecosystem activities, is positioned to lead that change. As Joe mentioned earlier, our mission is to become the world's largest and most trusted Ethereum treasury company.

We are motivated by the long term youth opportunity and not by a short term trade.

Let me now turn into a deeper dive on our theory and Treasury strategy, a core pillar of sharply as long term value creation plan.

Speaker #5: This is a company built on institutional-grade principles for one purpose: to unlock Ethereum's full potential and put it to work for investors. I'm thrilled to be part of it.

We're taking a strategic forward leaning approach, where not just accumulating and holding it on our balance sheet, we're activating it.

Much like how Michael Saylor and strategy unlocked access to bitcoin through our Treasury strategy. Our goal is for sharp linked to unlock public market access to east and at theorem ecosystem, but were going a step further.

Speaker #5: SharPLink's commitment to aligning its strategic direction with the Ethereum ecosystem reflects a bold and forward-looking vision—one that deeply resonates with my passion for digital assets and scaling innovative financial technologies.

Beyond just capital appreciation, we're transforming <unk> into a yield generating treasury asset through native thinking rethinking and participation in <unk>.

Speaker #5: Prior to joining SharpLink, I spent nearly two decades at BlackRock, where I served in senior leadership roles. I helped scale BlackRock's Aladdin portfolio and risk management system, one of the largest platforms for the entire buy-side community, and architected BlackRock's digital asset efforts.

Joseph Shalom: Prior to joining SharpLink Gaming Inc., I spent nearly two decades at BlackRock, where I served in senior leadership roles, helping scale BlackRock's Aladdin portfolio and risk management system, one of the largest platforms for the entire BuySide community, and architecting BlackRock's digital asset efforts. Over the last five years of my tenure at BlackRock, I focused on setting the strategy and executing BlackRock's digital asset efforts. I helped to bring institutional-grade crypto strategies to traditional finance and institutional investors. This included several landmark product innovations, notably the launch last January 2024 of the iShares Bitcoin Trust, iBit, the world's largest spot Bitcoin ETF, with approximately $85 billion in assets. The launch last July 2024 of the iShares Ethereum Trust, ETHA, which is now the world's largest spot ETH ETF and manages approximately $14 billion in assets. Finally, the launch of Biddle, the world's largest tokenized U.S.

Simply put our investment thesis is to raise capital in an efficient manner.

We're currently doing this by selectively issuing common equity.

We're also exploring the use of equity linked securities to capture the inherent value in each volatility and evaluating additional capital raising structures such as preferred securities.

Speaker #5: Over the last five years of my tenure at BlackRock, I focused on setting the strategy and executing BlackRock's digital asset efforts. I helped to bring institutional-grade crypto strategies to traditional finance and institutional investors.

All of this is to further our ultimate goal of increasing our east concentration our north star metric.

Speaker #5: This included several landmark product innovations, notably the launch in January 2024 of the iShares Bitcoin Trust, iBit, the world's largest spot Bitcoin ETF, with approximately $85 billion in assets.

This metric measures how much easily hold per 1000 diluted shares.

And serves as the clearest indicator of both the scale and capital efficiency of our <unk> accumulation strategy.

Speaker #5: The launch last July 2024 of the iShares Ethereum Trust (ETHA), which is now the world's largest spot ETH ETF, manages approximately $14 billion in assets.

By focusing on east concentration, we give investors a transparent objective way to track how we are building long term shareholder value.

So to recap we believe sharp link offers the smartest way for investors to gain exposure to eat and theory opportunity.

Speaker #5: And finally, the launch of Biddle, the world's largest tokenized U.S. Treasury fund, built on Ethereum. My overarching mission through these efforts was to bridge the worlds of traditional finance with a crypto ecosystem and its vibrant community.

Joseph Shalom: Treasury Fund built on Ethereum. My overarching mission through these efforts was to bridge the world of traditional finance with a crypto ecosystem and its vibrant community. These efforts were built through deep collaboration with industry partners like NASDAQ, Coinbase, Securitize, Anchorage Digital, and others who are building a robust ecosystem to support these innovative digital asset products. At SharpLink Gaming Inc., my goal is to provide investors with the smartest way to benefit from the long-term Ethereum opportunity. We are in the early stages of a strategy designed to give stockholders institutional-grade, risk-managed exposure to ETH and its yield. Our efforts are backed by best-in-class transparency and reporting. We are going to be doing it in a way that strengthens the Ethereum network and creates enduring value for our stockholders. We are motivated by the long-term ETH opportunity and not by a short-term ETH trade.

First recapture either in its full yield potential well beyond what's available through passive ETF exposure.

Second even compare to state. These are active capital market strategy and intelligent Treasury management increases east concentration overtime, putting more east behind each share delivering even more value to our stockholders and.

Speaker #5: These efforts were built through deep collaboration with industry partners like NASDAQ, Coinbase, Securitize, Anchorage Digital, and others who are building a robust ecosystem to support these innovative digital asset products.

And importantly sharply benefits from its unique strategic relationship with consensus as well as trusted relationships with asset managers galaxy and clarify and with our industry, leading custodians coinbase and encourage digital.

Speaker #5: At SharPLink, my goal is to provide investors with the smartest way to benefit from the long-term Ethereum opportunity. We are in the early stages of a strategy designed to give stockholders institutional-grade, risk-managed exposure to ETH and its yield.

These relationships help us achieve institutional grade treasury operations and efficiency.

Speaker #5: Our efforts are backed by best-in-class transparency and reporting. We are going to be doing it in a way that strengthens the Ethereum network and creates enduring value for our stockholders.

Our approach creates a powerful value proposition for our stockholders delivered through a highly liquid fully transparent NASDAQ listed company led by a team of World class experts.

Speaker #5: We are motivated by the long-term ETH opportunity and not by a short-term ETH trade. Let me now turn to a deeper dive into our Ethereum treasury strategy, a core pillar of SharpLink's long-term value creation plan.

Since launching our treasury strategy on June 2nd of this year, we have raised more than $2 6 billion in investor capital and purchased more than 700000 units.

Joseph Shalom: Let me now turn into a deeper dive on our Ethereum treasury strategy, a core pillar of SharpLink's long-term value creation plan. We are taking a strategic, forward-leaning approach. We are not just accumulating and holding ETH on our balance sheet; we are activating it. Much like how Michael Saylor and Strategy unlocked access to Bitcoin through a treasury strategy, our goal is for SharpLink to unlock public market access to ETH and the Ethereum ecosystem. But we are going a step further. Beyond just capital appreciation, we are transforming ETH into a yield-generating treasury asset through native staking, restaking, and participation in DeFi.

Speaker #5: We're taking a strategic forward-leaning approach. We're not just accumulating and holding ETH on our balance sheet; we're activating it. Much like how Michael Saylor and Strategy unlocked access to Bitcoin through a treasury strategy, our goal is for SharPLink to unlock public market access to ETH and the Ethereum ecosystem.

And we've done it in a way that has significantly improved our east concentration metrics, demonstrating our ability to maximize value for our stockholders.

We have raised this capital through a series of strategic transactions that have positioned sharply as one of the largest public east treasury companies.

On May 30 for 2025, we closed a $425 million private placement led by consensus and supported by other prominent crypto venture capital firms and providers that included clarify capital Electric capital Pantera capital and Galaxy digital to name a few.

Speaker #5: But we're going a step further. Beyond just capital appreciation, we're transforming ETH into a yield-generating treasury asset through native staking, restaking, and participation in DeFi.

Speaker #5: Simply put, our investment thesis is to raise capital in an efficient manner. We're currently doing this by selectively issuing common equity. We're also exploring the use of equity-linked securities to capture the inherent value in ETH's volatility and evaluating additional capital-raising structures such as preferred securities.

Joseph Shalom: Simply put, our investment thesis is to raise capital in an efficient manner. We are currently doing this by selectively issuing common equity. We are also exploring the use of equity-linked securities to capture their inherent value in ETH's volatility and evaluating additional capital-raising structures, such as preferred securities. All of this is to further our ultimate goal of increasing our ETH concentration, our North Star metric. This metric measures how much ETH we hold per 1,000 diluted shares and serves as the clearest indicator of both the scale and capital efficiency of our ETH accumulation strategy. By focusing on ETH concentration, we give investors a transparent, objective way to track how we are building long-term shareholder value. To recap, we believe SharpLink offers the smartest way for investors to gain exposure to ETH and the Ethereum opportunity.

<unk>.

In addition, we have a total of 6 billion and ATM capacity in place providing significant flexibility to continue raising capital to build our east holdings.

And then the last week or so we've raised $600 million in capital through registered direct offerings with global institutional investors some of which are among the largest in the world.

Speaker #5: All of this is to further our ultimate goal of increasing our ETH concentration—our North Star metric. This metric measures how much ETH we hold per 1,000 diluted shares.

Our capital markets approach remains opportunistic with a focus on both accretion and cost of capital with the aim of increasing our east concentration metric.

Speaker #5: And serves as the clearest indicator of both the scale and capital efficiency of our ETH accumulation strategy. By focusing on ETH concentration, we give investors a transparent, objective way to track how we're building long-term shareholder value.

We are frequently asked whether we have set a specific target for the amount of <unk>, we intend to acquire.

Our plan is to continuously and aggressively accumulate.

Over the long term for the benefit of our stockholders.

Speaker #5: So, to recap, we believe SharPLink offers the smartest way for investors to gain exposure to ETH and the Ethereum opportunity. First, we capture ETH and its full yield potential, well beyond what's available through passive ETF exposure.

Before I hand over to my partner, Rob Fithian I wanted to take a moment to thank our team for their herculean efforts in helping launch our newest <unk> Treasury strategy.

Joseph Shalom: First, we capture ETH and its full yield potential well beyond what is available through passive ETF exposure. Second, even compared to staked ETH, our active capital market strategy and intelligent treasury management increases ETH concentration over time, putting more ETH behind each share, delivering even more value to our stockholders. Importantly, SharpLink benefits from its unique strategic relationship with Consensys, as well as trusted relationships with asset managers Galaxy Digital and Parafi Capital, and with our industry-leading custodians, Coinbase and Anchorage Digital. These relationships help us achieve institutional-grade treasury operations and efficiency. Our approach creates a powerful value proposition for our stockholders, delivered through a highly liquid, fully transparent NASDAQ-listed company, led by a team of world-class experts. Since launching our treasury strategy on June 2nd of this year, we have raised more than $2.6 billion in investor capital and purchased more than 700,000 units of ETH.

I also want to recognize our strategic partners that consensus for their incredible collaboration and depth of expertise that they are bringing to this effort. Both of these are differentiated advantages for sharply.

Speaker #5: Second, even compared to staked ETH, our active capital market strategy and intelligent treasury management increases ETH concentration over time, putting more ETH behind each share.

I will now turn the call over to Rob to provide an update on sharp links affiliate marketing operating business Rob.

Speaker #5: Delivering even more value to our stockholders. And importantly, SharpLink benefits from its unique strategic relationship with ConsenSys, as well as trusted relationships with asset managers Galaxy and Parafi.

Thank you Joseph and thank you everyone for joining today's call.

For those who are new to our company sharp lengths legacy affiliate marketing business is focused on performance space customer acquisition and that thing, leading sports books and online casino operators with high value players.

Speaker #5: And with our industry-leading custodians, Coinbase and Anchorage Digital, these relationships help us achieve institutional-grade treasury operations and efficiency. Our approach creates a powerful value proposition for our stockholders, delivered through a highly liquid, fully transparent NASDAQ-listed company.

Through our flagship affiliate network.

Dot net.

We enable our partners to drive qualified traffic conversion and.

And long term player retention across both U S regulated and global gaming markets.

In addition to that that.

Speaker #5: Led by a team of world-class experts, we launched our treasury strategy on June 2nd of this year. Since then, we have raised more than $2.6 billion in investor capital and purchased more than 700,000 units of ETH.

We operate a portfolio of state specific direct to player websites.

Platforms are designed to engaged local sports betters and casino players and a highly targeted compliant manner driving traffic to operator partners license with each respective state.

Speaker #5: And we've done it in a way that has significantly improved our ETH concentration metric, demonstrating our ability to maximize value for our stockholders. We've raised this capital through a series of strategic transactions that have positioned SharPLink as one of the largest public ETH treasury companies.

Joseph Shalom: We have done it in a way that has significantly improved our ETH concentration metric, demonstrating our ability to maximize value for our stockholders. We have raised this capital through a series of strategic transactions that have positioned SharpLink as one of the largest public ETH treasury companies. On May 30, 2025, we closed a $425 million private placement led by Consensys and supported by other prominent crypto venture capital firms and providers that included Parafi Capital, Electric Capital, Pantera Capital, and Galaxy Digital, to name a few. In addition, we have a total of $6 billion in ATM capacity in place, providing significant flexibility to continue raising capital to build our ETH holdings. In the last week or so, we have raised $600 million in capital through registered direct offerings with global institutional investors, some of which are among the largest in the world.

This dual approach gives us both scale and precision, making us a valuable acquisition channel for the gaming industry.

Looking ahead, we see meaningful opportunities to evolve this business.

Speaker #5: On May 30, 2025, we closed a $425 million private placement led by ConsenSys, supported by other prominent crypto venture capital firms and providers, including Parafi Capital, Electric Capital, Pantera Capital, and Galaxy Digital, to name a few.

As the gaming ecosystem continues to integrate blockchain technologies and digital assets.

<unk> is positioning itself at the forefront of this shift.

We're actively exploring partnerships with crypto focused gaming platforms, enabling us to offer new innovative marketing solutions tailored to a digitally native tech savvy audience.

Speaker #5: In addition, we have a total of $6 billion in ATM capacity in place, providing significant flexibility to continue raising capital to build our ETH holdings.

With that I'll turn the call over to our Chief Financial Officer, Bob Taylor <unk> to take you through our financial results Bob.

Speaker #5: And in the last week or so, we've raised $600 million in capital through registered direct offerings with global institutional investors, some of which are among the largest in the world.

Thank you Rob first please refer to our press release. This morning for the Q2 financial highlights and an update on our current eight treasury strategy metrics.

Speaker #5: Our capital markets approach remains opportunistic, with a focus on both accretion and cost of capital, with the aim of increasing our ETH concentration metric.

Joseph Shalom: Our capital markets approach remains opportunistic, with a focus on both accretion and cost of capital, with the aim of increasing our ETH concentration metric. We are frequently asked whether we have set a specific target for the amount of ETH we intend to acquire. Our plan is to continuously and aggressively accumulate ETH over the long term for the benefit of our stockholders. Before I hand over to my partner, Rob Tithian, I want to take a moment to thank our team for their Herculean efforts in helping launch our new Ethereum treasury strategy. I also want to recognize our strategic partners at Consensys for their incredible collaboration and depth of expertise that they are bringing to this effort. Both of these are differentiated advantages for SharpLink. I will now turn the call over to Rob to provide an update on SharpLink's affiliate marketing operating business.

We will now go through the financial results for the quarter ended June 32025.

As we review our second quarter financial results I'd like to remind everyone that all comparisons and variance commentary referred to the prior year quarter unless otherwise specified.

Speaker #5: We are frequently asked whether we have set a specific target for the amount of ETH we intend to acquire. Our plan is to continuously and aggressively accumulate ETH over the long term for the benefit of our stockholders.

Please note that these results reflect less than one month of activity from our newly implemented each treasuries strategy, which launched on June 2nd 2025.

Speaker #5: Before I hand over to my partner, Rob Fithian, I want to take a moment to thank our team for their Herculean efforts in helping launch our new Ethereum treasury strategy.

As of June 30th the last day of the second quarter.

Speaker #5: I also want to recognize our strategic partners at ConsenSys for their incredible collaboration and depth of expertise that they're bringing to this effort. Both of these are differentiated advantages for SharpLink.

The company held 24704, <unk> with a net value of $61 $5 million.

In addition, we held 164731 L S seats or liquid stake east.

Speaker #5: I will now turn the call over to Rob to provide an update on SharpLink's affiliate marketing operating business. Rob?

With a net value of $382 $4 million after factoring in an impairment, resulting from arc current accounting rules.

Joseph Shalom: Thank you, Joseph, and thank you, everyone, for joining today's call. For those who are new to our company, SharpLink's legacy affiliate marketing business is focused on performance-based customer acquisition, connecting leading sports books and online casino operators with high-value players. Through our flagship affiliate network, PAS.net, we enable our partners to drive qualified traffic, conversion, and long-term player retention across both U.S.-regulated and global iGaming markets. In addition to PAS.net, we operate a portfolio of state-specific direct-to-player websites. These platforms are designed to engage local sports bettors and casino players in a highly targeted, compliant manner, driving traffic to operator partners licensed in each respective state. This dual approach gives us both scale and precision, making us a valuable acquisition channel for the iGaming industry. Looking ahead, we see meaningful opportunities to evolve this business.

Speaker #6: Thank you, Joseph, and thank you, everyone, for joining today's call. For those who are new to our company, SharPLink's legacy affiliate marketing business is focused on performance-based customer acquisition.

I like to talk about LLC for a moment, because if you aren't familiar with how liquid staking works. There are some counter intuitive accounting factors that investors and stockholders need to be aware of.

Speaker #6: Connecting leading sportsbooks and online casino operators with high-value players. Through our flagship affiliate network, PAS.net, we enable our partners to drive qualified traffic, conversion, and long-term player retention across both U.S.-regulated and global iGaming markets.

Under the rules LSE.

<unk> is classified as a digital intangible asset because the LSC token provides an enforceable right to redeem an underlying amount aviv deposited in a smart contract.

Speaker #6: In addition to PAS.net, we operate a portfolio of state-specific direct-to-player websites. These platforms are designed to engage local sports bettors and casino players in a highly targeted, compliant manner.

Digital intangible assets must be recorded at the historical costs less any impairment on the condensed consolidated balance sheet.

The company performs they test our digital intangible assets for impairment annually or more frequently if <unk>.

Speaker #6: Driving traffic to operator partners licensed in each respective state. This dual approach gives us both scale and precision, making us a valuable acquisition channel for the iGaming industry.

Vince or changes in circumstances indicate that the asset is impaired.

The test for impairment consist of a comparison of the fair value of the digital intangible assets with their carrying amount impairment losses are not reversible under U S. GAAP.

Speaker #6: Looking ahead, we see meaningful opportunities to evolve this business. As the gaming ecosystem continues to integrate blockchain technologies and digital assets, Sharplink is positioning itself at the forefront of this shift.

Joseph Shalom: As the gaming ecosystem continues to integrate blockchain technologies and digital assets, SharpLink is positioning itself at the forefront of this shift. We are actively exploring partnerships with crypto-focused gaming platforms, enabling us to offer new, innovative marketing solutions tailored to a digitally native, tech-savvy audience. With that, I will turn the call over to our Chief Financial Officer, Robert De Lucia, to take you through our financial results. Bob?

Increases in the value of LSC are not recognized until the redemption or sale of LSC to curse.

Speaker #6: We're actively exploring partnerships with crypto-focused gaming platforms, enabling us to offer new, innovative marketing solutions tailored to a digitally native, tech-savvy audience. With that, I'll turn the call over to our Chief Financial Officer, Bob De Lucia, to take you through our financial results.

Following the receipt of LSC in early June of 2025.

Price of Atlas is decreased.

And it was determined that the carrying amount.

Of the L. S exceeded its fair value during the quarter ended June 32025.

Speaker #6: Bob?

Speaker #7: Thank you, Rob. First, please refer to our press release this morning for the Q2 financial highlights and an update on our current ETH treasury strategy metrics.

Robert De Lucia: Thank you, Rob. First, please refer to our press release this morning for the Q2 financial highlights and an update on our current ETH treasury strategy metrics. We will now go through the financial results for the quarter ended June 30, 2025. As we review our second quarter financial results, I would like to remind everyone that all comparisons and variance commentary refer to the prior year quarter unless otherwise specified. Please note that these results reflect less than one month of activity from our newly implemented ETH treasury strategy, which launched on June 2, 2025. As of June 30, the last day of the second quarter, the company held 24,704 ETH with a net value of $61.5 million.

And determining if an impairment has occurred the company is required to use the lowest price of one lse's quoted on an activity change at any time during the quarter.

Speaker #7: We will now go through the financial results for the quarter ended June 30, 2025. As we review our second quarter financial results, I'd like to remind everyone that all comparisons and variance commentary refers to the prior year quarter unless otherwise specified.

Which in Q2 was approximately $2300.

As a result, the company recognized an impairment loss of $87 $8 million on its LSE holdings we.

Reducing the carrying value of the LSC.

Speaker #7: Please note that these results reflect less than one month of activity from our newly implemented ETH treasury strategy, which launched on June 2, 2025.

So there's no confusion for our investors I want to state plainly that this impairment loss is a non cash loss.

And as a result of the company following the current accounting practices.

Speaker #7: As of June 30th, the last day of the second quarter, the company held 24,740 ETH with a net value of $61.5 million. In addition, we held 164,731 liquid staked ETH (LS ETH), with a net value of $382.4 million after factoring in an impairment resulting from our current accounting rules.

Assets like LSE, it's a relatively new and we recognize the tremendous effort that has gone into updating U S GAAP to accommodate digital assets.

Over time, we expect further progress to ensure that investors have a clear and consistent information about a company's financial performance across a variety of digital assets.

Robert De Lucia: In addition, we held 164,731 LS ETH, or liquid staked ETH, with a net value of $382.4 million after factoring in an impairment resulting from our current accounting rules. I would like to talk about LS ETH for a moment because if you are not familiar with how liquid staking works, there are some counterintuitive accounting factors that investors and stockholders need to be aware of. Under the rules, LS ETH is classified as a digital intangible asset because the LS ETH token provides an enforceable right to redeem an underlying amount of ETH deposited in a smart contract. Digital intangible assets must be recorded at their historical costs, less any impairment on the condensed consolidated balance sheet. The company performs a test of digital intangible assets for impairment annually or more frequently if events or changes in circumstances indicate that the asset is impaired.

Revenue in the second quarter was <unk> $7 million compared to $1 million in Q2 of 2024.

Speaker #7: I'd like to talk about LS ETH for a moment because if you aren't familiar with how liquid staking works, there are some counterintuitive accounting factors that investors and stockholders need to be aware of.

Gross profit in the second quarter of 2025 was <unk> 2 million or 30% of revenue compared with <unk> 3 million or 28, 5% of revenue for Q2 of last year.

Speaker #7: Under the rules, LS ETH is classified as a digital intangible asset because the LS ETH token provides an enforceable right to redeem an underlying amount of ETH deposited in a smart contract.

SG&A expenses in the second quarter with $2 3 million compared to $1 5 million in Q2 of 2024.

Net loss in the second quarter was $103 $4 million compared to $5 million in Q2 of last year.

Speaker #7: Digital intangible assets must be recorded at their historical costs, less any impairment, on the condensed consolidated balance sheet. The company performs a test of digital intangible assets for impairment annually, or more frequently if events or changes in circumstances indicate that the asset is impaired.

The current quarter loss was primarily driven by the $87 $8 million noncash accounting impairment and the recognition of a $16 $4 million.

Noncash stock based compensation expense in conjunction with the strategic advisor agreement with consensus.

Speaker #7: The test for impairment consists of a comparison of the fair value of the digital intangible assets with their carrying amounts. Impairment losses are not reversible under U.S. GAAP.

Robert De Lucia: The test for impairment consists of a comparison of the fair value of the digital intangible assets with their carrying amounts. Impairment losses are not reversible under U.S. GAAP. Increases in the value of LS ETH are not recognized until the redemption or sale of LS ETH occurs. Following the receipt of LS ETH in early June of 2025, the price of LS ETH decreased, and it was determined that the carrying amount of the LS ETH exceeded its fair value during the quarter ended June 30, 2025. In determining if an impairment has occurred, the company is required to use the lowest price of one LS ETH quoted on an active exchange at any time during the quarter, which in Q2 was approximately $2,300. As a result, the company recognized an impairment loss of $87.8 million on its LS ETH holdings, reducing the carrying value of the LS ETH.

As of June 32025, cash on hand was $5 $1 million.

Speaker #7: Increases in the value of LS ETH are not recognized until the redemption or sale of LS ETH occurs. Following the receipt of LS ETH in early June 2025, the price of LS ETH decreased, and it was determined that the carrying amount of the LS ETH exceeded its fair value during the quarter ended June 30, 2025.

Impaired to cash on hand of $1 $4 million as of December 31, 2024.

For additional details I want to emphasize that today's remarks are only a summary of certain highlights are.

Our complete official financial statements and the accompanying footnotes.

<unk> all required disclosures and management's discussion and analysis are contained in our quarterly report on Form 10-Q for the period ended June 30.

Speaker #7: In determining if an impairment has occurred, the company is required to use the lowest price of one LS ETH quoted on an active exchange at any time during the quarter.

2025 filed with the Securities and Exchange Commission.

This concludes our prepared remarks, we will now open it up for questions from those participating in the call.

Speaker #7: Which in Q2 was approximately $2,300. As a result, the company recognized an impairment loss of $87.8 million on its LS ETH holdings, reducing the carrying value of the LS ETH.

Operator back to you.

Thank you the floor is now open for questions. If you would like to ask a question. Please press star one on your telephone keypad at this time, a confirmation tone will indicate that Youre line is in the question queue. You May press star two if he would like to remove your question from the queue for participants using speaker equipment. It may be necessary to pick up the handset before pressing the <unk>.

Speaker #7: So there's no confusion for our investors, I want to state plainly that this impairment loss is a non-cash loss. And as a result of the company following the current accounting practices.

Robert De Lucia: So there is no confusion for our investors. I want to state plainly that this impairment loss is a non-cash loss and is a result of the company following the current accounting practices. Assets like LS ETH are relatively new, and we recognize the tremendous effort that has gone into updating US GAAP to accommodate digital assets. Over time, we expect further progress to ensure that investors have clear and consistent information about a company's financial performance across a variety of digital assets. Revenue in the second quarter was $0.7 million compared to $1 million in Q2 of 2024. Gross profit in the second quarter of 2025 was $0.2 million, or 30% of revenue, compared with $0.3 million, or 28.5% of revenue for Q2 of last year. SG&A expenses in the second quarter were $2.3 million compared to $1.5 million in Q2 of 2024.

Darkies, we do ask that you. Please limit yourself to one question and one follow up again that is star one to register a question at this time.

Speaker #7: Assets like LS ETH are relatively new, and we recognize the tremendous effort that has gone into updating U.S. GAAP to accommodate digital assets. Over time, we expect further progress to ensure that investors have clear and consistent information about a company's financial performance across a variety of digital assets.

Our first question today is coming from Devin Ryan of citizens. Please go ahead.

Hey, Thanks, Good morning, everyone. Congrats on the launch progress on strategy to date.

I appreciate you taking the questions I guess first of all I want to dig in a little bit on.

The point that you made around the opportunity to activate.

Speaker #7: Revenue in the second quarter was $0.7 million compared to $1 million in Q2 of 2024. Gross profit in the second quarter of 2025 was $0.2 million, or 30% of revenue.

To drive incremental yield beyond speaking.

Jim Your team have some kind of unique background to do that so just love to hear a bit more about some of the areas you're focused on near term to do that and then how you see it evolving long term and just what type of yield pick up you think you can generate from that thank you.

Speaker #7: Compared with $0.3 million, or 28.5% of revenue for Q2 of last year, SG&A expenses in the second quarter were $2.3 million compared to $1.5 million in Q2 of 2024.

Thank you for the question. This is Joseph Rubin, our Joe Liberman for the purposes of this call.

Air traffic controller for these questions and.

I may answer some of that.

We will route them appropriately Joseph Shalom.

Speaker #7: Net loss in the second quarter was $103.4 million compared to $0.5 million in Q2 of last year. The current quarter loss was primarily driven by the $87.8 million non-cash accounting impairment.

Robert De Lucia: Net loss in the second quarter was $103.4 million compared to $0.5 million in Q2 of last year. The current quarter loss was primarily driven by the $87.8 million non-cash accounting impairment and the recognition of a $16.4 million of non-cash stock-based compensation expense in conjunction with the strategic advisor agreement with Consensys. As of June 30, 2025, cash on hand was $5.1 million compared to cash on hand of $1.4 million as of December 31, 2024. For additional details, I want to emphasize that today's remarks are only a summary of certain highlights. Our complete official financial statements in the accompanying footnotes, including all required disclosures and management discussion and analysis, are contained in our quarterly report on Form 10-Q for the period ended June 30, 2025, filed with the Securities and Exchange Commission. This concludes our prepared remarks.

Can you handle that please.

Sure.

Deb and welcome to the call and thanks for the question I think when you take a step back we want to do a few things we want to accumulate these for the long term and we want to activate it through yield strategies to date, we've really focused on native faking and the liquids taking protocol that Bob mentioned.

Speaker #7: And the recognition of a $16.4 million non-cash stock-based compensation expense in conjunction with the strategic advisory agreement with ConsenSys. As of June 30, 2025, cash on hand was $5.1 million compared to cash on hand of $1.4 million as of December 31, 2024.

And.

I think as we continue to grow we would like to take advantage of all this taking opportunities whether that is native liquid re staking or to participate in <unk> yields that said I think it's very important to emphasize that our expectation is.

We're going to do this and incredibly.

Speaker #7: For additional details, I want to emphasize that today's remarks are only a summary of certain highlights. Our complete official financial statements, including all required disclosures and management's discussion and analysis, are contained in our quarterly report on Form 10-Q for the period ended June 30, 2025, filed with the Securities and Exchange Commission.

Risk managed way.

Building a portfolio of E taking should be along some risk return continue and we're going to use our institutional grade experience plus the experience and depth of expertise a consensus to continually optimize that but we're doing it in a way that's going to be safe and accretive for our shareholders.

And if we do that well, which we will there'll be a compounding effect as part of our treasury strategy.

Speaker #7: This concludes our prepared remarks. We will now open it up for questions from those participating in the call. Operator, back to you.

Robert De Lucia: We will now open it up for questions from those participating in the call. Operator, back to you.

Excellent. Thank you.

Just for my follow up.

In the Investor presentation, you have a lot of good detail on there but.

Speaker #1: Thank you. The floor is now open for questions. If you would like to ask a question, please press *1 on your telephone keypad at this time.

Operator: Thank you. The floor is now open for questions. If you would like to ask a question, please press star one on your telephone keypad at this time. A confirmation tone will indicate that your line is in the question queue. You may press star two if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up the handset before pressing the star keys. We do ask that you please limit yourself to one question and one follow-up. Again, that is star one to register a question at this time. Our first question today is coming from Devin Ryan of Citizens. Please go ahead.

You kind of frame a valuation opportunity for ease of 15% to $40000 by 2028, which would obviously be.

Speaker #1: A confirmation tone will indicate that your line is in the question queue. You may press *2 if you would like to remove your question from the queue.

Really nice appreciation from here and I think you're probably underlying some of the strategy to Dubai youth as much as you can.

Speaker #1: For participants using speaker equipment, it may be necessary to pick up the handset before pressing the * keys. We do ask that you please limit yourself to one question and one follow-up.

So I'd love to just hear about some of the broad strokes around how youre thinking about the valuation for the type of adoption on our CRM, you think we need to see to get to those types of levels and anything else you would kind of frame in that question as well. Thanks.

Speaker #1: Again, that is *1 to register a question at this time. Our first question today is coming from Devin Ryan of Citizens. Please go ahead.

Speaker #8: Hey, thanks. Good morning, everyone. Congrats on the launch and progress on the strategy to date. I appreciate you taking the questions. I guess, first of all, I want to dig in a little bit on the points that you made around the opportunity to activate ETH to drive incremental yield beyond staking.

Yes, it's.

Devin Ryan: Hey, thanks. Good morning, everyone. Congrats on the launch and progress on the strategy to date. Appreciate you taking the questions. I guess, first of all, I want to dig in a little bit on the points that you made around the opportunity to activate ETH to drive incremental yield beyond native staking. It would seem your team has some unique background to do that. So I would just love to hear a little bit more about some of the areas you are focused on near term to do that, and then how you see it evolving long term and just what type of yield pickup you think you can generate from that. Thank you.

It's not easy to to Peg and then an actual number by a certain period of time for the price of ether.

Easter is at its mainstream momentary theory is that it's mainstream moment currently in the sense that it's scalable affordable usable enough, it's no longer dangerous to the <unk> company in the United States of America and it is.

Speaker #8: It would seem your team has some kind of unique background to do that. So I'd just love to hear a little bit more about some of the areas you're focused on near-term to do that.

Speaker #8: And then how do you see it evolving long-term, and what type of yield pickup do you think you can generate from that? Thank you.

Now open for business to be a company that either users tokens are issues tokens or makes you sort of define them. So it's it's on.

Speaker #7: Thank you for the question. This is Joseph Lubin, or Joe Lubin, for the purposes of this call. I'll be the air traffic controller for these questions and I may answer some, but we'll route them appropriately.

Joseph Lubin: Thank you for the question. This is Joseph Lubin, or Joe Lubin, for the purposes of this call. I will be the air traffic controller for these questions, and I may answer some, but we will route them appropriately. Joseph Shalom, can you handle that, please?

And.

That's just going to be a game changer.

If we assume ecosystem need.

Needs more applications and there are many developers coming into the space that previously were not comfortable coming into the space because.

Speaker #7: Joseph, Shalom, can you handle that, please?

Speaker #9: Sure. For Devin, welcome to the call and thanks for the question. I think when you take a step back, we want to do a few things.

Joseph Shalom: Sure. Devin, welcome to the call and thanks for the question. I think when you take a step back, we want to do a few things. We want to accumulate ETH for the long term, and we want to activate it through yield strategies. To date, we have really focused on native staking and the liquid staking protocol that Bob mentioned. I think as we continue to grow, we would like to take advantage of all the staking opportunities, whether that is native, liquid, restaking, or to participate in DeFi yields. That said, I think it is very important to emphasize that our expectation is we are going to do this in an incredibly risk-managed way. Building a portfolio of ETH staking should be along some risk-return continuum, and we are going to use our institutional-grade experience, plus the experience and depth of expertise at Consensys, to continually optimize that.

The previous administrations attack on our technology.

So the builders are coming the companies are coming and the applications are coming to users that are coming in.

Speaker #9: We want to accumulate ETH for the long term, and we want to activate it through yield strategies. To date, we've really focused on native staking and the liquid staking protocol that Bob mentioned.

And theirs.

The slate of support there.

As a support to a major financial institutions that evolve.

Made it clear.

Speaker #9: I think as we continue to grow, we would like to take advantage of all the staking opportunities, whether that is native, liquid, restaking, or to participate in DeFi yields.

Is there is the technology that they're going to build on.

Primarily because it's the largest most mature.

<unk> systems in the in the space and it's also because financial institutions depreciate technologies that haven't gone down once in the last 10 years.

Speaker #9: That said, I think it's very important to emphasize that our expectation is we're going to do this in an incredibly risk-managed way. You know, building a portfolio of ETH staking should be along some risk return continuum.

Fairness in a class of its own so whether it's.

8000, and 10015 thousand by the end of this year.

Or how much higher by the end of the subsequent years, it's all about out there and becoming.

Speaker #9: And we're going to use our institutional grade experience plus the experience and depth of expertise at Consensus to continually optimize that. But we're doing it in a way that's going to be safe, and accretive for our shareholders.

A new kind of software, we are calling a trust where that will enable.

The world to onboard itself in terms of financial applications and really become.

Joseph Shalom: But we are doing it in a way that is going to be safe and accretive for our shareholders. If we do that well, which we will, there will be a compounding effect as part of our treasury strategy.

Speaker #9: And if we do that well, which we will, there'll be a compounding effect as part of our treasury strategy.

Wed three the decentralized worldwide web and so we do anticipate that as.

As we grow the scalability of that.

Speaker #8: Excellent. Thank you. And just for my follow-up, in the investor presentation, you have a lot of good detail on there, but you kind of frame a valuation opportunity for ETH of 15 to 40,000 dollars by 2028, which would obviously be really nice appreciation from here.

The world's applications will sit on.

Devin Ryan: Excellent. Thank you. In the investor presentation, you have a lot of good detail on there, but you kind of frame a valuation opportunity for ETH of $15,000 to $40,000 by 2028, which would obviously be a really nice appreciation from here. I think you probably underlined some of the strategy to buy ETH as much as you can. I would love to just hear about some of the broad strokes around how you are thinking about the valuation for ETH, the type of adoption on Ethereum you think we need to see to get to those types of levels, and anything else you would kind of frame in that question as well. Thanks.

Decentralized Wilson.

So that will be on that theory.

That's great I appreciate the perspective.

That's again guys. Thanks.

Thank you. Our next question is coming from Joseph <unk> of Canaccord Genuity. Please go ahead.

Speaker #8: And I think, you know, probably underlined some of the strategy to buy ETH as much as you can. So I'd love to just hear about some of the broad strokes around how you're thinking about evaluation for ETH, the type of adoption on Ethereum you think we need to see to get to those types of levels, and anything else you would kind of frame in that question as well.

Hello, everyone. Congratulations on the progress so far and thanks for having me on the call here today I thought maybe.

We've started a little bit.

<unk> rapidly.

<unk> a prominent position in the <unk>.

Broader ecosystem.

Speaker #8: Thanks.

The charter throughout or just wondering you know away from the Treasury strategy are there other things you're working on right now to broaden the value youth and I guess, the mainstreaming of the ecosystem over and above over and above.

Speaker #7: Yes, it's not easy to peg an actual number by a certain period of time. For the price of Ether, Ether is at its mainstream moment or Ethereum is at its mainstream moment currently in the sense that it's scalable, affordable, and usable enough. It's no longer dangerous to be an Ethereum company in the United States of America.

Joseph Lubin: Yes, it's not easy to peg an actual number by a certain period of time for the price of Ethereum. Ethereum is at its mainstream moment, or Ethereum is at its mainstream moment currently, in the sense that it's scalable, affordable, usable enough. It's no longer dangerous to be an Ethereum company in the United States of America, and it is now open for business to be a company that either uses tokens or issues tokens or makes use of DeFi. That's just going to be a game changer. The Ethereum ecosystem needs more applications, and there are many developers coming into the space that previously were not comfortable coming into the space because of the previous administration's attack on our technology. The builders are coming, the companies are coming, the applications are coming, the users are coming, and there's legislative support.

Our buying and staking and then I'll have a quick follow up.

So I personally am involved with a company called consensus that has four round.

Speaker #7: And it is now open for business to be a company that either uses tokens, issues tokens, or makes use of DeFi. So it's on.

Around 10 years <unk> been working to a.

To build grow and expand the theory on ecosystem.

And there are lots of synergies that we're exploring between consensus and sharp link.

Speaker #7: And that's just going to be a game changer. The Ethereum ecosystem needs more applications and there are many developers coming into the space that previously were not comfortable coming into the space because of the previous administration's attack on our technology.

And so.

We may have a concrete answer to your question at some point soon but let me throw it over to Josephine Kcl's any thoughts on that front.

Sure.

So lots of Joseph on this call and answer but thanks for the question I think right now we on behalf of our stockholders are really really focused on doing an excellent job of executing on our east Treasury strategy. We do have an existing affiliate marketing businesses business and we believe there are going to be.

Speaker #7: So the builders are coming, the companies are coming, the applications are coming, the users are coming, and there's legislative support. There's support from major financial institutions that have all made it clear that Ethereum is the technology that they're going to build on.

Joseph Lubin: There's support from major financial institutions that have all made it clear that Ethereum is the technology that they're going to build on. It's primarily because it's the largest, most mature ecosystem in the space, and it's also because financial institutions appreciate technologies that haven't gone down once in the last 10 years, and Ethereum is in a class of its own. So whether it's $8,000, $10,000, $15,000 by the end of this year, or much higher by the end of subsequent years, it's all about Ethereum becoming a new kind of software. We're calling it Trustware that will enable the world to onboard itself in terms of financial applications and really become Web3, the decentralized worldwide web. We do anticipate that as we grow scalability, that the world's applications will sit on decentralized rails, and much of that will be on Ethereum.

<unk> to find new operating businesses that drive revenue that are both synergistic and complementary with what we do today, but we will also leverage the close relationship the strategic partnership with consensus that is a differentiated advantage for sharp link no other east.

Speaker #7: It's primarily because it's the largest, most mature ecosystem in the space. It's also because financial institutions appreciate technologies that haven't gone down once in the last 10 years.

Speaker #7: And Ethereum is in a class of its own. So whether it's $8,000, $10,000, or $15,000 by the end of this year, or much higher by the end of subsequent years, it's all about Ethereum becoming a new kind of software, we're calling it Trustware, that will enable the world to onboard itself in terms of financial applications, and really become Web3, the decentralized worldwide web.

Treasury has that strategic relationship with a company with the most experience and depth of knowledge in theory them. So I would ask you to be patient we are exploring additional opportunities to drive revenue growth and that revenue growth itself and the earnings could be reinvested in these so we can create.

Bit of a flywheel and our righteous cycle, but that's something we're exploring we're early in this strategy and we're focused on doing it right.

Yes.

Speaker #7: And so we do anticipate that as we grow, scalability will become crucial, and that the world's applications will sit on decentralized rails, with much of that being on Ethereum.

<unk> nine rules, but let me just follow up a little bit my role is.

Chairman of the board at sharply.

And I don't have day to day executive responsibilities that said I am paying very careful attention to whats going on day to day.

Speaker #8: That's great. I appreciate the perspective, and congrats again, guys. Thanks.

Devin Ryan: That's great. I appreciate the perspective, and congrats again, guys. Thanks.

At sharp link of because it's doing important things and it's moving really fast consensus has contributed top tier talent to sharp link.

Speaker #1: Thank you. Our next question is coming from Joseph Vassey of Canaccord Genuity. Please go ahead.

Operator: Thank you. Our next question is coming from Joseph Vasi of Canaccord Genuity. Please go ahead.

And second it sometimes to sharp link so.

Speaker #9: Hello, everyone. Congratulations on the progress so far, and thanks for having me on the call here today. I thought maybe we'd start a little bit; you rapidly achieved a prominent position in the broader ETH ecosystem.

Joseph Vasi: Hello, everyone. Congratulations on the progress so far, and thanks for having me on the call here today. I thought maybe you know we would start a little bit. You know, you rapidly achieved a prominent position in the broader ETH ecosystem with the treasury strategy. Just wondering, you know, away from the ETH treasury strategy, are there other things you are working on right now to broaden the value use, and I guess the mainstreaming of the ETH ecosystem, you know, over and above, you know, buying and staking? Then I will have a quick follow-up.

The team on the ground at sharp link has an intimate understanding of what consensus dose.

And what's going on in the near term ecosystem and we're constantly.

Sharing information about what we're seeing with our all day.

Speaker #9: With the treasury strategy, just wondering, you know, away from the ETH treasury strategy, are there other things you’re working on right now to broaden the value use and I guess the mainstreaming of the ETH ecosystem over and above, you know, buying and staking? And now the quick follow-up?

Personnel at sharp link so any sort of.

Yes.

The event or innovation, that's going on in the <unk> space is immediately adjusted.

And so well shuttling needs to focus on the core strategy for now.

That they had before.

Benefit to the business of consensus to win them.

Speaker #7: So I personally am involved with a company called Consensus that has, for around 10 years, been working to build, grow, and expand the Ethereum ecosystem.

Joseph Lubin: I personally am involved with a company called Consensys that has for around 10 years been working to build, grow, and expand the Ethereum ecosystem. There are lots of synergies that we are exploring between Consensys and SharpLink Gaming Inc. We may have a concrete answer to your question at some point soon, but let me throw it over to Joseph in case he has any thoughts on that front.

That's great color, Thanks, Joe and then maybe.

Maybe just really quickly on the treasury strategy itself clearly off to a very strong start with solid momentum.

Speaker #7: And there are lots of synergies that we're exploring between Consensus and SharpLink. We may have a concrete answer to your question at some point soon, but let me throw it over to Joseph in case he has any thoughts on that front.

Yeah.

Comparing and contrasting for example to.

<unk>, formerly known as micro strategy, you do of yield generation capability, how do you think that that yield generation could.

Perhaps a form eight.

Speaker #9: Sure. So, there are lots of Josephs on this call and answer. But thanks for the question. I think right now, we, on behalf of our stockholders, are really, really focused on doing an excellent job executing on our ETH treasury strategy.

Joseph Shalom: Sure. So, lots of Josephs on this call. Thanks for the question. I think right now, on behalf of our stockholders, we are really, really focused on doing an excellent job executing on our ETH treasury strategy. We do have an existing affiliate marketing business, and we believe there are going to be opportunities to find new operating businesses that drive revenue that are both synergistic and complementary with what we do today, but will also leverage the close relationship, the strategic partnership with Consensys. That is a differentiated advantage for SharpLink Gaming Inc. No other ETH treasury has that strategic relationship with a company with the most experience and depth of knowledge in Ethereum. I would ask you to be patient.

Maybe a slightly different way or approach.

Perjury accumulation relative to the different financial instruments avail.

Available to you and your balance sheet.

Mark.

Mr Shlomi all yours.

Speaker #9: We do have an existing affiliate marketing business, and we believe there are going to be opportunities to find new operating businesses that drive revenue.

Sure I think first we have to give credit where credit is due and Michael Saylor and his team have done an amazing job with.

Strategy and their bitcoin treasury and what's interesting is it demonstrated over the past four years.

Speaker #9: That are both synergistic and complementary with what we do today. But will also leverage the close relationship, the strategic partnership with Consensus that is a differentiated advantage for SharPLink.

They can create a premium to the NAV in their stock price and they can sustain it.

And that is really important and they've done that largely because they.

Speaker #9: Know whether ETH treasury has that strategic relationship with a company with the most experience and depth of knowledge in Ethereum. So I would ask you to be patient.

They have an ability to drive both earnings and to use financial products to rates.

Speaker #9: We are exploring additional opportunities to drive revenue growth. This revenue growth itself and the earnings could be reinvested in ETH. This way, we can create a bit of a flywheel and a righteous cycle.

Joseph Shalom: We are exploring additional opportunities to drive revenue growth, and that revenue growth itself and the earnings could be reinvested in ETH so we can create a bit of a flywheel and a righteous cycle, but that is something we are exploring. We are early in the strategy, and we are focused on doing it right.

To raise capital that are accretive.

Think it aspect and in an E. Treasuries strategy you have that you have an ability to have capital appreciation and an efficient public company highly illiquid wrapper I think what you also have is the ability to create yield and compounded on a continual basis. So that is really really important I.

Speaker #9: But that's something we're exploring. We're early in the strategy, and we're focused on doing it right.

Speaker #8: Yes. And my role, let me just follow up a little bit. My role is Chairman of the Board at SharpLink. I do not have day-to-day executive responsibilities.

Joseph Lubin: Sure. My role, let me just follow up a little bit. My role is Chairman of the Board at SharpLink Gaming Inc., and I do not have day-to-day executive responsibilities. That said, I am paying very careful attention to what is going on day-to-day at SharpLink Gaming Inc. because it is doing important things, and it is moving really fast. Consensys has contributed top-tier talent to SharpLink Gaming Inc. and seconded some talent to SharpLink Gaming Inc. The team on the ground at SharpLink Gaming Inc. has an intimate understanding of what Consensys does and what is going on in the Ethereum ecosystem, and we are constantly sharing information about what we are seeing with all the personnel at SharpLink Gaming Inc. Any sort of event or innovation that is going on in the Ethereum space is immediately ingested at SharpLink Gaming Inc. While SharpLink Gaming Inc.

Also think owning beef through asset we're a public company you have an ability not just to focus on the accumulation and compounding of these but you also have the benefit that the revenue that's thrown off from the yield has a forward valuation and there will be opportunities to <unk>.

Speaker #8: That said, I'm paying very careful attention to what's going on day-to-day. At SharPLink, because it's doing important things and it's moving really fast, Consensus has contributed top-tier talent to SharPLink.

Grow that revenue and I think that is why youre going to see this be a successful strategy, but we owe a tip of the hat to Michael Saylor. This just has the additional benefit of compounding yield.

Speaker #8: And seconded some talent to SharPLink. So, the team on the ground at SharPLink has an intimate understanding of what Consensus does and what's going on in the Ethereum ecosystem.

Thanks very much.

Thank you. Our next question is coming from Brian Kinsinger of Alliance Global Partners. Please go ahead.

Speaker #8: And we're constantly sharing information about what we're seeing with all the personnel at SharPLink. So any sort of event or innovation that's going on in the Ethereum space is immediately ingested at SharPLink.

Okay.

Great. Thanks, so much for taking my questions.

There are several smart blockchain theory on by far has the largest share in terms of total value locked in total asset secured.

Can you talk about some of the key developments that will ensure imperium and sustained its lead or even increase that share that investors should be tracking.

Speaker #8: And so, while SharpLink needs to focus on the core strategy for now, they have the full benefit of the vistas of Consensus to lean on.

Joseph Lubin: needs to focus on the core strategy for now, they have the full benefit of the vistas of Consensys to lean on.

Sure Hey, Brian.

To address that.

Speaker #9: That's a great caller. Thanks, Joe. And then maybe just really quickly on the treasury strategy itself, you know, clear layoff. Do a very strong start with solid momentum.

Joseph Vasi: is a great question. Thanks, Joe. Then maybe just really quickly on the treasury strategy itself. You know, clearly off to a very strong start with solid momentum. You know, in comparing and contrasting, for example, to strategy formerly known as MicroStrategy, you do have yield generation capability. How do you think that yield generation could perhaps form a, you know, maybe a slightly different way or approach to treasury accumulation relative to the different financial instruments available to you and your balance sheet? Thanks very much.

They determine ecosystem.

We did go through a <unk>.

Here to adult runs for a while well there was.

The lower activity.

And lower mood in.

Speaker #9: You know, comparing and contrasting, for example, to the strategy for formerly known as MicroStrategy, you do have yield generation capability. How do you think that that yield generation could perhaps form a, you know, maybe a slightly different way or approach to treasury accumulation relative to the different financial instruments available to you and your balance sheet?

<unk>.

Rod a blockchain ecosystem and that's certainly affected.

On the others.

<unk> as a result of.

The attacks are the cells that were.

Mostly.

Directed towards <unk>, because it is the most decentralized protocol because the United States of America, and major financial institutions felt that.

The decentralization and disintermediation.

Speaker #9: Thanks very much.

<unk> enabled.

Speaker #7: Oh, Mr. Shalom, all yours.

Joseph Lubin: Mr. Shalom, all yours.

Was a bit of a threat to the way that they like to do business, but Fortunately, we're beyond that and.

Speaker #9: Sure. I think first we have to give credit where credit is due. And Michael Saylor and the scheme have done an amazing job with strategy and their Bitcoin treasury.

Joseph Shalom: Sure. I think first we have to give credit where credit is due, and Michael Saylor and his team have done an amazing job with strategy and their Bitcoin treasury. What is interesting is they have demonstrated over the past four years that they can create a premium to the NAV in their stock price, and they can sustain it. That is really important. They have done that largely because they have an ability to drive both earnings and to use financial products to raise capital that are accretive. I think at SharpLink Gaming Inc. and in an ETH treasury strategy, you have that. You have an ability to have capital appreciation in an efficient public company, highly liquid wrapper. I think what you also have is the ability to create yield and compound it on a continual basis. That is really, really important.

Headwinds.

Then two Gale force tailwind at our back.

Speaker #9: And what's interesting is that they have demonstrated over the past four years that they can create a premium to the NAS in their stock price. And they can sustain it.

The sentiment inside the firm ecosystem.

Is very high right now even even during the.

More.

Speaker #9: And that is really important. And they've done that largely because they have an ability to drive both earnings and to use financial products to raise capital that are accretive.

Malaise period. The builders were just building we've been heads down building for 10 years building, enabling infrastructure to scale.

The technology and get it ready for its mainstream moment.

And so as I said before we're already scalable scalable enough.

Speaker #9: I think at SBET and in an ETH treasury strategy, you have an ability to have capital appreciation in an efficient public company, highly liquid wrapper. I think what you also have is the ability to create yield and compound it on a continual basis.

Cortisol and vertically.

To handle rapid growth.

What we're focusing on now is.

Creating greater composed ability across the layer two networks and later one so there are various technologies being built and actually.

Speaker #9: So, that is really, really important. I also think owning ETH through SBET or a public company gives you the ability not just to focus on the accumulation and compounding of ETH, but you also benefit from the revenue that’s generated from the yield, which has a forward valuation.

Joseph Shalom: I also think owning ETH through SharpLink Gaming Inc. or a public company, you have an ability not just to focus on the accumulation and compounding of ETH, but you also have the benefit that the revenue that is thrown off from the yield has a forward valuation, and there will be opportunities to grow that revenue. I think that is why you are going to see this be a successful strategy. We owe a tip of the hat to Michael Saylor. This just has the additional benefit of compounding yield.

And use that will enable synchronous compose ability across different layer two networks and so that means that within two seconds or less you can.

Transactions to uneven across different networks.

And.

There is a huge effort to beef up the performance of layer, one so thats the transaction throughput per second and reducing the latency so that involves.

Speaker #9: And there will be opportunities to grow that revenue. I think that is why you're going to see this be a successful strategy. But we owe a tip of the hat to Michael Saylor.

Speaker #9: This just has the additional benefit of compounding yield.

Growing the amount of gas power block.

Using block times and.

Speaker #8: Thanks very much.

Joseph Vasi: Thanks very much.

Variety of other.

Speaker #1: Thank you. Our next question is coming from Brian Kinslinger of Alliance Global Partners. Please go ahead.

Techniques, including parallel organization.

Operator: Thank you. Our next question is coming from Brian Kinslinger of Alliance Global Partners. Please go ahead.

Smart contract execution and soon.

Speaker #10: Great. Thanks so much for taking my questions. There are several smart blockchains, and Ethereum by far has the largest share in terms of total value locked and total assets secured.

Brian Kinslinger: Great. Thanks so much for taking my questions. There are several smart blockchains. Ethereum by far has the largest share in terms of total value locked and total assets secured. Can you talk about some of the key developments that will ensure Ethereum can sustain its lead or even increase that share that investors should be tracking?

The ambitions of the serum ecosystem decor developers are to make later one extremely more performance while still retaining.

Speaker #10: Can you talk about some of the key developments that will ensure Ethereum can sustain its lead or even increase that share that investors should be tracking?

Appropriate decentralization after all it is decentralization that.

Distinguishes <unk> from essentially all other protocols.

Speaker #10: Sure. Hey, Brian. Happy to address that. The Ethereum ecosystem did go through a period of doldrums for a while. Well, there was a lower activity and lower mood in the broad blockchain ecosystem.

Joseph Lubin: Sure. Hey, Brian. Happy to address that. The Ethereum ecosystem did go through a period of doldrums for a while. There was a lower activity and a lower mood in the broad blockchain ecosystem, and that certainly affected Ethereum more than others. That was partially as a result of the attacks of the SEC that were mostly directed towards Ethereum because it is the most decentralized protocol and because the United States of America and major financial institutions felt that the decentralization and disintermediation that Ethereum enabled was a bit of a threat to the way that they like to do business. Fortunately, we are beyond that, and headwinds have turned into gale force tailwinds at our back. The sentiment inside the Ethereum ecosystem is very high right now.

Perhaps bitcoin and ethereum are in the same class in that respect.

Yes, Joe I would add Joe.

Just to add to Brian's question one of the reasons why we think we are at a moment that matters in a paradigm shift is the theory of macro opportunity you have tailwind of the genius and clarity acts you have the circle IPO, but more importantly, you were seeing very significant growth.

Speaker #10: And that certainly affected Ethereum more than others. It was partially a result of the attacks from the SEC that were mostly directed towards Ethereum because it is the most decentralized protocol and because the United States of America and major financial institutions felt that the decentralization and disintermediation that Ethereum enabled was a bit of a threat to the way that they like to do business.

<unk> and institutional adoption.

And if you take a step back the expansion of the assets and transactions on a theory M and the L. Twos is because the theory that the global platform not just for stable coins and token is real world assets, but also decentralized finance.

That drives network value of a theory them.

Speaker #10: But fortunately, we're beyond that, and headwinds have turned into gale-force tailwinds at our back. The sentiment inside the Ethereum ecosystem is very high right now.

Our partners at consensus published a really interesting trustworthy report that laid out a fundamental way of thinking about a theory of minutes network valuation and the simplest headline is that eats market capitalization to grow by one dollar for every $2 of asset secured on a theory.

Speaker #10: Even during the more malaise period, the builders were just building. We've been heads down building for 10 years—building and enabling infrastructure to scale the technology and get it ready for its mainstream moment.

Joseph Lubin: Even during the more malaise period, the builders were just building. We have been heads down building for 10 years, building enabling infrastructure to scale the technology and get it ready for its mainstream moment. As I said before, we are already scalable enough both horizontally and vertically to handle rapid growth. What we are focusing on now is creating greater composability across the layer two networks and layer one. There are various technologies being built and actually in use that will enable synchronous composability across different layer two networks. That means that within two seconds or less, you can get transactions done even across different networks. There is a huge effort to beef up the performance of layer one. That is the transaction throughput per second and reducing the latency.

And right now if you look at the competition. The cerium is securing nearly 60% of all stable coin.

Transactions, 83% of token is real world assets, and 72% of high quality liquid defy transactions and Thats 10 X. The second largest platform. So we think theres, not only momentum, but theres mindshare and institutional adoption and that dry.

Speaker #10: And so, as I said before, we're already scalable enough both horizontally and vertically to handle rapid growth. What we're focusing on now is creating greater composability across the Layer 2 networks and Layer 1. There are various technologies being built and actually in use that will enable synchronous composability across different Layer 2 networks.

The theory of network value and east market capitalization.

Thanks, Joseph and Brian Let me put a timeline to to my remarks.

Speaker #10: And so that means that within two seconds, or less, you can get transactions done even across different networks. There’s a huge effort to beef up the performance of Layer 1, so that’s the transaction throughput per second and reducing the latency.

On may 7th.

Our core developers landed the most complex our work in the history of the theorem.

At least the biggest one.

And those obviously landed flawlessly.

We do.

And that had some scalability improvements.

Speaker #10: So that involves growing the amount of gas per block, reducing block times, and a variety of other techniques including parallelization of smart contract execution. The ambitions of the Ethereum ecosystem and the core developers are to make Layer 1 extremely more performant while still retaining appropriate decentralization. After all, it is decentralization that distinguishes Ethereum from essentially all other protocols. Perhaps Bitcoin and Ethereum are in the same class in that respect.

Joseph Lubin: That involves growing the amount of gas per block, reducing block times, and a variety of other techniques, including parallelization of our contract execution. The ambitions of the Ethereum ecosystem, the core developers, are to make layer one extremely more performant while still retaining appropriate decentralization. After all, it is decentralization that distinguishes Ethereum from essentially all other protocols, and perhaps Bitcoin and Ethereum are in the same class in that respect.

The next hard for soccer is scheduled to land in.

In the October November timeframe.

And that will enable greater scalability of the layer two technologies.

Technologies and has a few other enhancements.

Soon after that we have collapsed or dam Glenn Mr. Dan is going to be focused on scaling later, one and so we expect lamster them to land sometime in Q2 of next year. So.

And even alongside those improvements there are things that we can do.

Alongside that namely increasing.

Gas limits and.

And soon.

Speaker #10: Yeah.

Parallel rising the release schedule between essentially improvement.

Speaker #8: Great.

Joseph Shalom: Yeah, great. Joe, I would just add to Brian's question. One of the reasons why we think we are at a moment that matters and a paradigm shift is this Ethereum macro opportunity. You have tailwinds of the Genius and Clarity Acts. You have the Circle IPO. More importantly, you are seeing very significant growth in institutional adoption. If you take a step back, the expansion of the assets and transactions on Ethereum and the L2s is because Ethereum is a global platform, not just for stablecoins and tokenized real-world assets, but also DeFi. That drives network value of Ethereum. Our partners at Consensys published a really interesting Trustware report that laid out a fundamental way of thinking about Ethereum and its network valuation. The simplest headline is that ETH's market capitalization could grow by $1 for every $2 of assets secured on Ethereum.

Speaker #9: Joe, I would just add to Brian's question. One of the reasons why we think we are at a moment that matters and a paradigm shift is this Ethereum macro opportunity.

Of the is.

Is there any later one technology versus the theorem later, two technology, which which depends on a different kind of storage cold called blocks. So all of this is happening.

Speaker #9: You have tailwinds from the Genius and Clarity acts. You have the Circle IPO. But more importantly, you are seeing very significant growth in institutional adoption.

Essentially now and pretty rapidly.

Great.

Speaker #9: And if you take a step back, the expansion of the assets and transactions on Ethereum and the L2s is because Ethereum is the global platform, not just for stablecoins and tokenized real-world assets, but also decentralized finance.

My follow up would be and thus far your capital has been raised through equity, but you alluded to evaluating other structures can.

Can you talk about your approach of debt or their maximum debt to equity ratios that you look to maintain or any other metrics.

And how we should think about them.

Speaker #9: That drives the network value of Ethereum. Our partners at ConsenSys published a really interesting Trustware report that laid out a fundamental way of thinking about Ethereum and its network valuation. The simplest headline is that ETH's market capitalization could grow by $1 for every $2 of assets secured on Ethereum.

Joseph.

Sure to date, we've been really focused on raising common equity we've done it through our pipe we've done it through registered direct offerings and as we alluded to on our call. We have $6 billion of ATM facilities that are available.

That are really available to us.

Our focus.

Speaker #9: And right now, if you look at the competition, Ethereum is securing nearly 60% of all stablecoin transactions, 83% of tokenized real-world assets, and 72% of high-quality liquid DeFi transactions.

Joseph Shalom: Right now, if you look at the competition, Ethereum is securing nearly 60% of all stablecoin transactions, 83% of tokenized real-world assets, and 72% of high-quality liquid DeFi transactions. That's 10x the second largest platform. We think there's not only momentum, but there's mind share and institutional adoption, and that drives Ethereum network value and ETH's market capitalization.

At this point is also and we've said this publicly to explore the use of equity linked securities in order to capture the inherent value in eats volatility and we're also evaluating additional capital raising structures such as preferred securities. So we are early in our capital raise.

Speaker #9: And that's 10x the second largest platform. So we think there's not only momentum, but there's mind share and institutional adoption. And that drives Ethereum network value and ETH's market capitalization.

We've raised $2 $6 billion in under 11 weeks that has resulted in our E. Treasury owning three $3 billion of these but as we move forward, we're going to make sure we're using every.

Speaker #8: Thanks, Joseph. And Brian, let me put a timeline to my remarks. On May 7th, our core developers landed the most complex hard fork in the history of Ethereum.

Joseph Lubin: Thanks, Joseph. Brian, let me put a timeline to my remarks. On May 7th, our core developers landed the most complex hard fork in the history of Ethereum, at least the biggest one. That was obviously landed flawlessly, as we do, and that had some scalability improvements. The next hard fork for Sokka is scheduled to land in the October-November timeframe, and that will enable greater scalability of the layer two technologies and has a few other enhancements. Soon after that, we have Glamster Dam. Glamster Dam is going to be focused on scaling layer one. We expect Glamster Dam to land sometime in Q2 of next year.

Opportunity to raise capital in the most efficient way to date, it's been common equity, but equity linked is coming in our future at the appropriate time, and we're going to do it in a disciplined way.

Speaker #8: Or at least the biggest one. That was obviously landed flawlessly, as we do. That had some scalability improvements. The next hard fork, Fusaka, is scheduled to land in the October and November time frame.

Great. Thanks, so much congratulations on this strategy and the success.

Ladies and gentlemen, we're showing time for one final question. Our final question is coming from Bill pop Anastasio of K P. W. Please go ahead.

Good morning, gentlemen, and thanks for taking my questions a bit of a side note as a full circle moment for me about a decade ago ever.

Speaker #8: And that will enable greater scalability of the layer two technologies and has a few other enhancements. Soon after that, we have Glamster Dam. Glamster Dam is going to be focused on scaling layer one, and so we expect Glamster Dam to land sometime in Q2.

I recall watching Joel Bourbon Street in Toronto during the Al four venture base.

Just two questions for me first we could start off with.

Maybe you can share your vision of how chartering strategies will evolve over time.

Speaker #8: Of next year. So, even alongside those improvements, there are things that we can do alongside that, namely increasing gas limits and soon parallelizing the release schedule between essentially the improvement of the Ethereum Layer One technology versus the Ethereum Layer Two technology, which depends on different kinds of storage called blobs.

As a competition.

Joseph Lubin: Even alongside those improvements, there are things that we can do alongside that, namely increasing gas limits and soon parallelizing the release schedule between essentially improvement of the Ethereum layer one technology versus the Ethereum layer two technology, which depends on a different kind of storage called blobs. All of this is happening essentially now and pretty rapidly.

Competition across smart contract block chains.

Seems to become more competitive.

Sure. So I'll start with a longer range overview, and then hand, it over to Joseph for more immediate deal.

So.

This is a paradigm shift.

Our past the inflection point and we are fully in the paradigm shift towards progressing decentralizing of the global economy.

Speaker #8: So all of this is happening essentially now and pretty rapidly. Great.

That's not just my opinion that seems to be the opinion of legislators and regulators.

Brian Kinslinger: Great. My follow-up would be, thus far, your capital has been raised through equity, but you alluded to evaluating other structures. Can you talk about your approach to debt? Are there maximum debt-to-equity ratios that you look to maintain or any other metrics in how we should think about them?

The United States and in other places it seems to be the opinion of major financial institutions.

Speaker #10: My follow-up would be: thus far, your capital has been raised through equity, but you alluded to evaluating other structures. Can you talk about your approach to debt?

I may be living further in the future than those people that.

So few people catching up pretty rapidly.

Speaker #10: Are there maximum debt-to-equity ratios that you look to maintain, or any other metrics, and how should we think about them?

And.

The paradigm shift will involve all of us becoming on chain. So in the same sense that.

Speaker #8: Joseph?

Joseph Shalom: Joseph, to date, we've been really focused on raising common equity. We've done it through a private placement. We've done it through registered direct offerings. As we alluded to on our call, we have $6 billion of ATM capacity that are really available to us. Our focus at this point is also, and we've said this publicly, to explore the use of equity-linked securities in order to capture the inherent value in ETH's volatility. We are also evaluating additional capital raising structures such as preferred securities. We are early in our capital raise. We've raised $2.6 billion in under 11 weeks. That has resulted in our ETH treasury owning $3.3 billion of ETH. As we move forward, we are going to make sure we are using every opportunity to raise capital in the most efficient way.

Speaker #9: Sure. To date, we've been really focused on raising common equity. We've done it through a PIPE, we've done it through registered direct offerings, and as we alluded to on our call, we have $6 billion of ATM facilities that are available to us.

Interactive companies, our web studios in the Ninety's and the ops started working with the traditional organizations to build websites.

You can get their information online.

Build ecommerce sites.

Bring them onto mobile and social over the last years.

Speaker #9: Our focus at this point is also, and we've said this publicly, to explore the use of equity-linked securities in order to capture the inherent value in ETH's volatility.

And essentially transformed the global economy by bringing.

Companies and people online.

We are doing that.

Ecosystem by making it both legal.

Speaker #9: And we're also evaluating additional capital raising structures such as preferred securities. So we are early in our capital raise; we've raised $2.6 billion in under 11 weeks.

And comfortable and easy.

Or.

People and organizations to use tokens to participate in the <unk>.

Economy so.

As tip of the spear.

Speaker #9: That has resulted in our ETH treasury owning $3.3 billion of ETH. But as we move forward, we're going to make sure we're using every opportunity to raise capital in the most efficient way.

Companies like sharp link are bringing traditional finance to define by Ey.

Recognizing that.

There's a deep structural shifts going on in our structural trade in place.

Speaker #9: To date, it's been common equity. But equity-linked is coming in our future at their appropriate time, and we're going to do it in a disciplined way.

Joseph Shalom: To date, it's been common equity, but equity-linked is coming in our future at the appropriate time, and we are going to do it in a disciplined way.

As I mentioned in.

My remarks on this call.

This is very similar to.

30 years of the trade.

Speaker #10: Great. Thanks so much. Congratulations on this strategy and the success.

Brian Kinslinger: Great. Thanks so much. Congratulations on the strategy and the success.

Treasury rates going down and in bond prices going up it's very similar to 30 years of the.

Speaker #1: Ladies and gentlemen, we're showing time for one final questioner. Our final question is coming from Bill Papanistassio of KBW. Please go ahead.

Operator: Ladies and gentlemen, we are showing time for one final questioner. Our final question is coming from Bill Papanastasio of KBW. Please go ahead.

The Japanese carry trade so something structural that's going on in <unk>, and we believe that we and others are going to be.

Well advised to continue to accumulate.

Speaker #11: Good morning, gentlemen. Thank you for taking my questions. A bit of a side note, this is a full-circle moment for me—about a decade ago.

Devin Ryan: Good morning, gentlemen. Thanks for taking my questions. A bit of a side note, this is a full circle moment for me. About a decade ago, I recall watching Joseph Lubin speak in Toronto during the L4 Venture days. Just two questions for me. First, we can start off with maybe you can share your vision of how treasury strategies will evolve over time as competition across smart contract blockchains seems to become more competitive. Thank you.

We think of as the highest power of money on the planet right now which is ether in bitcoin.

Speaker #11: I recall watching Joe Lubin speak in Toronto during the L4 Venture days. Just two questions for me. First, we can start off with maybe you can share your vision of how treasury strategies will evolve over time.

And their highest powered because they're on sensible and because they are.

MIT, the exploitation and financial repression of citizens of different nation States and so we.

We will continue to do this we will differentiate ourselves because we are deep in the technology and we can bring all the expertise of consensus and base there in the ecosystem to bear on what sharply dose Joseph Bank.

Speaker #11: As competition across smart contract blockchains seems to become more competitive, thank you.

Speaker #8: Sure. So, I'll start with a longer-range overview and then hand it over to Joseph for a more immediate view. So, this is a paradigm shift.

Joseph Lubin: Sure. I will start with a longer range overview and then hand it over to Joseph for a more immediate view. This is a paradigm shift. We are past the inflection point, and we are fully in the paradigm shift towards a progressive decentralizing of the global economy. That is not just my opinion. That seems to be the opinion of legislators and regulators in the United States and other places. It seems to be the opinion of major financial institutions. I may be living further in the future than those people, but it is nice to see people catching up pretty rapidly. The paradigm shift will involve all of us becoming on-chain.

My colleague will do the same for the traditional.

Finance industry.

And we are.

Speaker #8: We are past the inflection point, and we're fully in the paradigm shift towards a progressive decentralization of the global economy. That's not just my opinion.

Going to eventually make use of.

I'm extremely large pool of the highest tariff money to do things that.

Speaker #8: That seems to be the opinion of legislators and regulators in the United States and other places. It seems to be the opinion of major financial institutions.

We'll be societally impactful that that is a a later stage.

Particular strategy, let me turn it over to Joseph.

Sure I would say from a competitive and evolution perspective, I want to start by just acknowledging that competition is excellent in this space what do I mean by that it means that there are multiple market leaders and some of the largest institutional investors in the world who believe in the thesis of an a theory.

Speaker #8: I may be living further in the future than most people, but it's nice to see people catching up pretty rapidly. The paradigm shift will involve all of us becoming on-chain.

Speaker #8: So, in the same sense that interactive companies or web studios in the '90s and the aughts started working with traditional organizations to build websites to get their information online, to build e-commerce sites, and to bring them onto mobile and social.

Joseph Lubin: In the same sense that interactive companies or web studios in the 1990s and the 2000s started working with traditional organizations to build websites, to get their information online, to build e-commerce sites, to bring them onto mobile and social over the last years, and essentially transform global.

<unk> long term opportunity.

That said there is room for multiple treasuries, we believe like in many network scaled businesses. A few will take the most assets could scale and liquidity really matters, we're proud to be a.

Among the top 50 last week in liquid public.

Speaker #8: Over the last few years, we have essentially transformed the global economy by bringing companies and people online. We are doing that in our ecosystem by making it both legal and comfortable, and easy for people and organizations to use tokens to participate in the token economy.

Stocks, which is a really positive thing for our investors I also would say we are taking a long term view and as much as we focus on.

Operator: economy by bringing companies and people online. We are doing that in our ecosystem by making it both legal and comfortable and easy for people and organizations to use tokens to participate in the token economy. As tip of the spear, companies like SharpLink are bringing traditional finance to DeFi by recognizing that there is a deep structural shift going on and a structural trade in place. As I mentioned in my remarks on this call, this is very similar to 30 years of treasury rates going down and bond prices going up. It is very similar to 30 years of the Japanese carry trade. Something structural is going on, and we believe that we and others are going to be well advised to continue to accumulate what we think of as the highest powered money on the planet right now, which is Ethereum and Bitcoin.

What's happening in the industry, we're actually singularly focused on being the most trusted and most transparent in this space trusted and that we will follow the best risk managed approach to raising capital acquiring eats and then deploying it for yield and we will also do it in a way that's most <unk>.

Speaker #8: So, as the tip of the spear, companies like SharPLink are bringing traditional finance to DeFi by recognizing that there's a deep structural shift going on and a structural trade in place, as I mentioned in my remarks on this call.

Or inspections with weekly updates and other means for people to track our core metrics and that I think in the long run will be differentiating and institutional capital was looking for.

Not only long term investment opportunities, but to do it with the most transparent and trusted in the industry and that's where we're going to keep our focus for our stockholders.

Thank you that was a very informative response from both of you Joe Lubin.

You spoke about the world moving on chain.

Are there any major infrastructure gaps that need to be solved in order to see this happen do you.

You see any potential overhangs today from.

From Sandler tried five move over to.

Hi, essentially thank you.

Operator: They are highest powered because they are uncensorable and because they do not admit the exploitation and financial repression of citizens of different nation states. We will continue to do this. We will differentiate ourselves because we are deep in the technology, and we can bring all the expertise of Consensys and the Ethereum ecosystem to bear on what SharpLink does. Joseph, my colleague, will do the same for the traditional finance industry. We are going to eventually make use of an extremely large pool of the highest powered money to do things that will be societally impactful. That is a later stage of this particular strategy. Let me throw it over to Joseph.

As I said in my earlier remarks, we are at our mainstream moment right now in terms of scalability affordability usability legality.

And what we.

What we anticipate is that.

More and more demand will come and like any technology youre going to have to respond to.

And what that demand does to our ecosystem to them through our technology. So we've had many moments.

In the last 10 years, where.

New.

Users have come along.

And they've shown us how we need to improve the technology. So we will need a lot of that going forward in terms of maintained.

Maintaining scalability of the technology as more and more use cases and companies and people are on boarded.

Joseph Shalom: Sure. I would say from a competitive and evolution perspective, I want to start by just acknowledging that competition is excellent in this space. What do I mean by that? It means that there are multiple market leaders and some of the largest institutional investors in the world who believe in the thesis of an Ethereum long-term opportunity. That said, there is room for multiple treasuries. We believe, like in many network scale businesses, a few will take the most assets because scale and liquidity really matters. We are proud to be among the top 50 last week in liquid public stocks, which is a really positive thing for our investors.

Usability is a very important one so we've done a pretty good job, making wallets and applications more usable more intuitive but.

Their own consensus and many other projects in our ecosystem are experimenting with artificial intelligence to.

To make the technology delightful and intelligible.

People don't read terms and conditions on the web currently.

And it's gonna be unreasonable to expect that people will understand the intricacies of decentralized finance or.

The intricacies of decentralized governance, and a DAU for instance, and so.

Joseph Shalom: I also would say we are taking a long-term view, and as much as we focus on what is happening in the industry, we are actually singularly focused on being the most trusted and the most transparent in this space. Trusted in that we will follow the best risk-managed approach to raising capital, acquiring yield, and then deploying it for yield. We will also do it in a way that is most transparent, with weekly updates and other means for people to track our core metrics. That, I think, in the long run, will be differentiating. Institutional capital is looking for not only long-term investment opportunities, but to do it with the most transparent and trusted in the industry. That is where we are going to keep our focus for our stockholders.

People will soon.

Access to wood.

What I like to think of it.

Excuse me, a digital twin AI agent that understands them well.

What's happening in the industry, we're actually singularly focused on being the most trusted in the most transparent in this space trusted and that we will follow the best risk managed approach to raising capital acquiring eats and then deploying it for yield.

It represents their interests on the web and an unchanged and so we will be building on.

That sort of technology that you own in your control that protects your own personal information and enables you to understand what's going on.

And we will also do it in a way that's most transparent with weekly updates and other means for people to track our core metrics and that I think in the long run will be differentiating and institutional capital was looking for not only long term investment opportunities, but to do it with the most transparent.

In a protocol upgrade or some sort of.

Proposal in a decentralized organization or how to position yourself in decentralized finance or in a game or something like that so.

The user interface that you can talk to that you can express your intent to have a network of solvers underneath that go ahead and fulfill your request within two seconds.

Aaron and trusted in the industry, and that's where we're going to keep our focus for our stockholders.

Thank you that was a very informative response from both of you Joe Lubin.

David Brown: Thank you. That was a very informative response from both of you. Joseph Lubin, you spoke about the world moving on chain. Are there any major infrastructure gaps that need to be solved in order to see this happen? Do you see any potential overhangs today from seeing TradFi move over to DeFi essentially? Thank you.

That's the kind of advancements that we're gonna needle very much.

Hum.

Two plus years in order to make the technology really easy to use.

Broke about the world moving on Sean.

Are there any major infrastructure gaps that need to be solved in order to see this happen.

Are you seeing any potential overhangs today from.

Thank you we were actually have time for one more question. Our last question is coming from Kevin <unk> of H C. Wainwright. Please go ahead.

From Shang tried five move over to a.

Hi, Asexually. Thank you.

Thanks, Thanks, so much for fitting me in I appreciate that.

As I said in my earlier remarks, we are at our mainstream moment right now in terms of scalability affordability usability legality.

Joseph Shalom: As I said in my earlier remarks, we are at our mainstream moment right now, in terms of scalability, affordability, usability, legality. What we anticipate is that more and more demand will come. Like any technology, we are going to have to respond to what that demand does to our ecosystem, to our technology. We have had many moments in the last 10 years where new uses have come along, and they have shown us how we need to improve the technology. We will need a lot of that going forward, in terms of maintaining scalability of the technology as more and more use cases and companies and people are onboarded. Usability is a very important one. We have done a pretty good job making wallets and applications more usable, more intuitive.

Maybe a little sort of back office housekeeping question, gentlemen, I don't understand whether or not you're running your own validated our nodes or intend to continue outsourcing.

And what we.

What you might do to extract higher levels of Nab.

What we anticipate is that.

More and more demand will come and like any technology youre going to have to respond to.

Josef do you want to.

Talk about the back half ever in the <unk>.

What that demand does to our ecosystem to them through our technology. So we've had many moments.

Trajectory.

Sure.

Risk controls are really really important Kevin and that's why when the strategy was kicked off we partnered with leading asset managers like terrifying galaxy as well as with encourage and coin.

In the last 10 years, where.

New.

Users have come along.

And they've shown us how we need to improve the technology. So we will need a lot of that going forward in terms of maintained.

Coinbase to build that structure around us to make sure we were doing the institutional grade best in class accumulation and staking to date, we've used delegated staking through those custodians and as I mentioned earlier through native staking and.

Maintaining scalability of the technology as more and more use cases and companies and people are on boarded.

Usability is a very important one so we've done a pretty good job, making wallets and applications are more usable more intuitive but.

One liquids taking protocol.

Joseph Shalom: There are Consensys and many other projects in our ecosystem are experimenting with artificial intelligence to make the technology delightful and intelligible. People do not read terms and conditions on the web currently. It is going to be unreasonable to expect that people will understand the intricacies of DeFi or the intricacies of decentralized governance in a DAO, for instance. People will soon have access to what I like to think of as a, excuse me, a digital twin AI agent that understands them well, that represents their interests on the web and on chain.

The consensus and many other projects in our ecosystem are experimenting with artificial intelligence to.

As I mentioned, we are going to continually evaluate that to look at what the most efficient way to drive yield is across the full gamut of opportunities again thinking rethinking defy yield opportunities, but we're going to do it in a risk managed way.

To make the technology, a delightful and intelligible.

People don't read terms and conditions on the web currently.

At the end of the day. This is a treasury strategy to accumulate and compound, but we're going to do it in a way that's best for our stockholders and not take unnecessary risk that said our differentiated relationship with consensus gives us incredible depth of knowledge and access to this community to me.

And it's gonna be unreasonable to expect that people will understand the intricacies of decentralized finance or.

The intricacies of decentralized governance and a DAU for instance.

No.

People will soon.

Access to wood.

What I like to think of it.

Sure we are staking in the highest risk reward way and I think thats, a differentiator relative to our competitors.

Excuse me, a digital twin AI agent that understands them well.

It represents their interests on the web and and unchanged and so we will be building that.

All right.

Joseph Shalom: We will be building that sort of technology that you own and you control that protects your own personal information and enables you to understand what is going on in a protocol upgrade or some sort of proposal in a decentralized organization or how to position yourself in DeFi or in a game or something like that. The user interface that you can talk to, that you can express your intent and have a network of solvers underneath that, go ahead and fulfill your request within two seconds. That is the kind of advancement that we are going to need over the next two plus years in order to make the technology really easy to use.

As much as you feel free to offer I'd appreciate understanding.

That sort of technology that you own in your control that protects your own personal information and enables you to understand what's going on.

So the buy triggers I mean within the context of each being worth 15% to 40 K.

In a protocol upgrade or some sort of a proposal in a decentralized organization or or how to position yourself in decentralized finance or in a game or something like that so.

How how do you approach your day to day buying.

And on the market.

Yes, I think I'll take a high level I'll take a high level answer to that which is as you. Just described if theres a long term youth opportunity and eat today is trading in the mid 4000, and you believe there's going to be significant adoption on the theory of network therefore driving the.

The the user interface that you can talk to that you can express here and attempt and has a network of solvers underneath that go ahead and fulfill your request within two seconds.

That's the kind of advanced front that we're gonna need both at night.

Hum.

Plus years in order to make the technology really easy to use.

<unk> beef up and that is the thesis then you want to buy and accumulate as much either as possible early in this mega cycle and that's simply what we're doing and we're trying to execute again through best in class providers, but I think we're very focused on accumulating.

Thank you we were actually have time for one more question. Our last question is coming from Kevin <unk> of H C. Wainwright. Please go ahead.

Conference Facilitator: Thank you. We actually have time for one more question. Our last question is coming from Kevin Dede of HC Wainwright. Please go ahead.

Dodie Handy: Thanks. Thanks very much for fitting me in. I appreciate that. Maybe a little sort of back office housekeeping question, gentlemen. I do not understand whether or not you are running your own validator nodes or intend to continue outsourcing and what you might do to extract higher levels of MEV.

Thanks, so much for fitting me in I appreciate that.

Because that is where we are early in this adoption cycle.

Maybe a little sort of back office housekeeping question, gentlemen, I don't understand whether or not you're running your own validated or nodes or intend to continue outsourcing.

Fair enough gentlemen, thank you for frankly EMEA appreciate it.

Thank you at this time I would like to turn the floor back over to Mr. Sloane for closing comments.

What you might do to extract higher levels of Nab.

Well. Thank you everyone for joining our first earnings conference call as in East Treasury Company. We truly appreciate your continued support and confidence in our vision and I want to be clear, we remain focused on executing our strategy driving growth and delivering value for our stockholders.

Josef do you want to.

Operator: Joseph, do you want to talk about the back office and the trajectory?

Talk about the back half ever in the trajectory.

Sure I think risk controls.

Joseph Shalom: Sure. I think risk controls are really, really important, Kevin. That is why when the strategy was kicked off, we partnered with leading asset managers like Parafi Capital and Galaxy Digital, as well as with Anchorage Digital and Coinbase to build that structure around us to make sure we were doing the institutional grade, best-in-class accumulation and staking. To date, we have used delegated staking through those custodians, and as I mentioned earlier, through native staking and one liquid staking protocol. As I mentioned, we are going to continually evaluate that to look at what the most efficient way to drive yield is, across a full gamut of opportunities.

Are really really important Kevin and that's why when the strategy was kicked off we partnered with leading asset managers like <unk> and galaxy as well as with encourage and <unk>.

And we look forward to speaking with you again on our next earnings call. So have a great weekend everyone.

Coinbase to build that structure around us to make sure we were doing the institutional grade best in class accumulation and staking to date, we've used delegated staking through those custodians and as I mentioned earlier through native staking and.

Ladies and gentlemen. This concludes today's event you may disconnect your lines or log off the webcast at this time and enjoy the rest of your day.

One liquids taking protocol.

As I mentioned, we are going to continually evaluate that to look at what the most efficient way to drive the yield is across the full gamut of of opportunities again, staking retaking defy yield opportunities, but we're going to do it in a risk managed way.

Joseph Shalom: Again, staking, restaking, DeFi yield opportunities, but we are going to do it in a risk-managed way, because at the end of the day, this is a treasury strategy to accumulate and compound, but we are going to do it in a way that is best for our stockholders and not take unnecessary risk. That said, our differentiated relationship with Consensys gives us incredible depths of knowledge and access to this community to make sure we are staking in the highest risk-reward way. I think that is a differentiator relative to our competitors.

Because at the end of the day. This is a treasury strategy to accumulate and compound, but we're going to do it in a way that's best for our stockholders and not take unnecessary risk that said our differentiated relationship with consensus gives us incredible depth of knowledge and access to this community to <unk>.

Make sure we are staking in the highest risk reward way and I think that's a differentiator relative to our competitors.

And as much as you feel free to offer I'd appreciate understanding.

Dodie Handy: As much as you feel free to offer, I would appreciate understanding the buy triggers. I mean, within the context of ETH being worth 15 to 40K, how do you approach your day-to-day buying on the market?

The Dubai triggers I mean within the context of east being worth 15% to 40 K.

How how do you approach your day to day buying.

On the market.

Yeah.

Yes, I think I'll take a high level I'll take a high level answer to that which is as you. Just described if theres a long term youth opportunity and eat today is trading in the mid four thousands and you believe there's going to be significant adoption on the theory of network, therefore, driving the value of beef up.

Joseph Shalom: I think I'll take a high level answer to that, which is, as you just described, if there's a long-term ETH opportunity and ETH today is trading in the mid-$4,000s and you believe there's going to be significant adoption on the Ethereum network, therefore driving the value of ETH up, and that is the thesis, then you want to buy and accumulate as much ETH as possible early in this mega cycle. That's simply what we're doing. We're trying to execute, again, through best-in-class providers. I think we're very focused on accumulating, because that is where we are early in this adoption cycle.

That is the thesis then you want to buy and accumulate as much either as possible early in this mega cycle and that's simply what we're doing and we're trying to execute again through best in class providers, but I think we're very focused on accumulating.

Because that is where we are early in this adoption cycle.

Fair enough, gentlemen. Thank you for being frank with me; I appreciate it.

Dodie Handy: Fair enough, gentlemen. Thank you for including me. I appreciate it.

Thank you. At this time, I'd like to turn the floor back over to Mr. Sloane for closing comments.

Conference Facilitator: Thank you. At this time, I would like to turn the floor back over to Mr. Shalom for closing comments.

Well, thank you everyone for joining our first earnings conference call as East Treasury Company. We truly appreciate your continued support and confidence in our vision. I want to be clear: we remain focused on executing our strategy, driving growth, and delivering value for our stockholders.

Joseph Shalom: Thank you, everyone, for joining our first earnings conference call. As an ETH treasury company, we truly appreciate your continued support and confidence in our vision. I want to be clear, we remain focused on executing our strategy, driving growth, and delivering value for our stockholders. We look forward to speaking with you again on our next earnings call. Have a great weekend, everyone.

And we look forward to speaking with you again on our next earnings call. So, have a great weekend, everyone.

Ladies and gentlemen, this concludes today's event. You may disconnect your lines or log off the webcast at this time and enjoy the rest of your day.

Conference Facilitator: Ladies and gentlemen, this concludes today's event. You may disconnect your lines or log off the webcast at this time and enjoy the rest of your day.

[music].