SOL Strategies Ramp Up $500M Convertible Note to Expand SOL Holdings

SOL Strategies Inc. (formerly Cypherpunk Holdings Inc.), a publicly traded Canadian entity dedicated to investment, has announced the execution of a definitive agreement with ATW Partners for a convertible note facility to expand SOL holdings.

The agreement, formalized on April 23, 2025, establishes a facility of up to $500 million, known as the “Facility.” This financing arrangement represents a pioneering approach within the digital asset landscape, specifically allocating capital for the acquisition of SOL coins.

SOL Strategies Set to Expand SOL Holdings

SOL Strategies utilizes the tokens for staking through its validators, employing a predetermined profit-sharing arrangement. The agreement begins with the Company issuing $20 million in notes.

However, contingent upon fulfilling specific requirements, additional funding of potentially $480 million becomes accessible. The initial phase is expected to be completed around May 1, 2025, pending the successful completion of all standard closing procedures.

Additionally, a pivotal aspect of this agreement involves paying interest on the Notes in SOL. These payments will derive from up to 85% of the staking rewards generated by SOL Strategies’ acquisition and staking of SOL coins within the framework of this deal.

Furthermore, this news confirms SOL Strategies as a leader in Solana infrastructure. The company is expanding its Solana validator operations, combining new financial approaches with an advanced technical setup and other top firms.

At the same time, SOL Strategies is preparing to list on the Nasdaq exchange as part of its broader plan to list on multiple exchanges.

Leah Wald, Chief Executive Officer of SOL Strategies, stated: 

“This is the largest financing facility of its kind in the Solana ecosystem and the first ever directly tied to staking yield. By securing up to half a billion dollars in strategic capital, we are doubling down on our conviction in Solana and our commitment to being the leading institutional staking platform.”

Strategic Cooperation

The Notes can be changed into the Company’s regular shares at the current market price on the day before the change. This follows the rules in the Notes and the Facility agreement.

Notably, Cohen & Company Capital Markets, part of J.V.B. Financial Group, LLC, is helping SOL Strategies with the placement. They will get a finder’s fee of 4% of the total money from the first closing, paid in cash.

The Notes and the shares they can be changed into will be offered outside of Canada, as allowed by Ontario Securities Commission Rule 72-503. 

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