SharpLink Gaming, an online gaming company with the second-largest corporate Ether treasury, announced a net loss of $103 million for the second quarter of 2025, driven by a paper loss from accounting for liquid staked Ether (LsETH). The loss marks a steep drop from a $500,000 loss in the same period of 2024 โ a year-over-year change of -25,980%.
According to a Friday announcement, SharpLink now holds 728,804 Ether (ETH) worth approximately $3.5 billion at this writing. The only publicly traded company with more ETH is BitMine Immersion Technologies, which holds a little more than 1.15 million ETH worth approximately $5.1 billion.
Of SharpLinkโs Q2 loss, $87.8 million โ or 85% โ is related to the companyโs LsETH. A SharpLink representative told Cointelegraph that the company still has all its LsETH and that the impairment โreflects accounting rules, not a sale or loss of ETH.โ
โUnder US GAAP, LsETH is currently treated as a digital intangible asset, which is recorded at cost and subject to impairment,โ a SharpLink spokesperson said. โIn Q2, the lowest market price of LsETH was $2300, triggering the $87.8M non-cash impairment.โ
GAAP stands for โGenerally Accepted Accounting Principles,โ and is widely used by corporations for financial reporting. SharpLink posted revenue of $700,000 for Q2 2025.
SharpLinkโs shares trended downward on the news. According to Google Finance, the companyโs share price is down 12.58% on the Nasdaq at this writing.
Related: BitMine targets huge $24.5B raise as SharpLink boosts Ether war chest
Ether treasury companies could spark DeFi summer
Ether treasury companies and exchange-traded funds are expected to support buying pressure for ETH, with renewed price predictions already emerging.
Multinational banking company Standard Chartered has said ETH could hit $7,500 by the end of 2025. Market strategy and research firm Fundstrat is even more optimistic, saying ETH could reach $15,000 by yearโs end.
Etherealizeโs Vivek Raman says that competition between Ether treasury companies could spark further activity on decentralized finance networks, leading to an institutional-scale DeFi summer 2.0.
Ether has been rising since the ecosystemโs May Pectra upgrade. On that day, ETH had a price of roughly $1,811. At the time of this writing, ETHโs price is $4,382, a jump of 142% over the period.
Magazine: Dummiesโ guide: Ethereumโs roadmap to 10,000 TPS using ZK tech
