How Investors Are Reacting To SharpLink Gaming (SBET) Deploying US$170 Million Ethereum In

January 11, 2026

  • SharpLink Gaming recently deployed US$170 million worth of Ethereum to Consensys’ Linea layer-2 network under a multi-year, multi-layered yield strategy that combines native staking, restaking rewards and structured incentives within a qualified custodian framework.

  • This move cements SharpLink as the world’s second-largest corporate Ether holder and highlights how on-chain treasury management is evolving toward institutional-grade DeFi structures.

  • We’ll now examine how SharpLink’s focus on generating staking and restaking income from its Ethereum treasury shapes the company’s broader investment narrative.

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To own SharpLink today, you need to believe that a small, loss-making gaming business can credibly reinvent itself around an Ethereum-centric treasury model, and that staking income can become a meaningful earnings driver rather than a side bet. The new US$170 million Linea deployment reinforces that story by pushing more of its 864,000‑ETH hoard into yield-generating structures, potentially sharpening one of the near-term catalysts: proof that staking and restaking income can support the path to profitability flagged by analysts. At the same time, it also amplifies the key risks already on the table: a very young management team and board, a recent going‑concern flag from auditors, heavy past dilution, and now deeper exposure to smart contract, counterparty and regulatory risks around institutional DeFi. With the share price still well below consensus fair value estimates and a large buyback authorization in place, the Linea move feels material to how investors frame both upside and downside in the next leg of the story.

But the same Ethereum engine that powers the upside also concentrates a specific kind of risk investors should understand. SharpLink Gaming’s shares have been on the rise but are still potentially undervalued by 26%. Find out what it’s worth.

SBET 1-Year Stock Price Chart
SBET 1-Year Stock Price Chart

Eighteen Simply Wall St Community members have sketched fair values for SharpLink that span from cents to very large figures, underlining how differently people handicap this story. Set that against the company’s ambitious Ethereum yield strategy and still-fresh going concern questions, and it becomes clear why you might want to compare several of these viewpoints before deciding how much weight to place on staking-driven earnings.

Explore 18 other fair value estimates on SharpLink Gaming – why the stock might be worth less than half the current price!

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include SBET.

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