SOL Strategies Reveals $500M Stake-Backed Financing Facility Amid Validator Surge
In a bold move to reshape Solana’s institutional landscape, SOL Strategies has secured a $500 million convertible note facility through a partnership with ATW Partners, marking a milestone for staking-based finance.
The funds will support the purchase and staking of SOL tokens through validators managed by SOL Strategies, with an initial $20M closing scheduled for early May 2025.
Interest Pegged to Real-Time Validator Returns
Unlike traditional debt models, this note pays interest in SOL, based on 85% of yield generated by staked tokens. Each dollar raised begins generating staking income immediately.
CEO Leah Wald called the model “transformative,” stating, “It’s not just yield—it’s scalability built on sustainable validator economics.”
Cohen & Company Capital Markets serves as the placement agent and will earn a 4% finder’s fee. The notes can convert into equity at future market prices, giving ATW upside exposure.
Validator Network Growth Accelerates
This follows SOL Strategies’ acquisition of Laine and other validators, doubling its stake to over 3.35 million SOL, now worth nearly $400 million. The firm also acquired Stakewiz.com to reinforce its analytics and tracking capabilities.
The company launched a new validator with Pudgy Penguins, marking one of the first NFT–validator partnerships, with APYs up to 11%.
Validator performance continues to rise under CSO Michael Hubbard, with 99.955% uptime and strong APY delivery.
Economic Alignment and Next-Gen Treasury Strategy
In governance, the company backed SIMD-228, a proposal to reduce Solana’s inflation rate—a move that speaks to its focus on protocol health.
Where MicroStrategy and GameStop raised capital to hold BTC, SOL Strategies takes it further, using capital to stake SOL and generate real yield—actively increasing balance sheet value while preserving liquidity through conversion flexibility.
Together, its validator growth, strategic partnerships, and financial innovation position SOL Strategies as a central force in the institutional evolution of Solana staking.
