Shares of SharpLink Gaming Inc. (NASDAQ:SBET) climbed 19% in Monday’s premarket session, offering a partial rebound after a dramatic 72% plunge last Friday. The selloff was triggered by the company’s filing related to a private investment in public equity (PIPE), which some investors misinterpreted.
The company’s chairman, Joseph Lubin—who is also known as a co-founder of Ethereum—addressed concerns directly through posts on social media platform X. Lubin sought to clarify the nature of the filing, stating it was “standard post-PIPE procedure in tradfi, not an indication of actual sales,” using “tradfi” as shorthand for traditional finance.
Lubin further commented on the matter in a separate post Friday, saying: “Crypto Twitter should understand that there are securities industry rules regarding what insiders like me can and can’t say, and timing rules around what we can say and do. All will be revealed in good time, according to plan and the law.”
SharpLink has seen significant price swings in recent days. Its stock soared by over 1,700% within four days of announcing its new Ethereum treasury initiative, only to face a sharp pullback late last week.
The company currently holds 176,270.69 Ethereum tokens, which are estimated to be worth around $460.6 million based on current market value.