The move: Brera Holdings stock has surged more than 450% in recent days. From its closing price on Wednesday of $7.65 per share to Friday’s high of $43.14, the stock spike as much 464% before paring gains.
Why: Brera, known mostly for investing in soccer clubs throughout Europe, is the latest company to join the crypto treasury craze. On September 18, it announced plans to transition to a digital asset treasury and would rebrand itself to Solmate, a nod to the solana token it intends to hold on its balance sheet.
“Solmate is well-positioned as Solana adoption accelerates across institutional markets, DeFi, NFTs and AI,” incoming Solmate CEO Marco Santori stated.
This transition is funded by a private placement offering that netted the company $300 million. Its backers included Cathie Wood’s ARK Invest and the Solana Foundation, as well as United Arab Emirates-based Pulsar Group.
Part of the surge can likely be attributed to ARK’s 6.5 million BREA stock purchase. Shares were added to the ARK Innovation ETF, ARK Next Generation Internet ETF and ARK Fintech Innovation ETF.
Brera has indicated that it plans to trade on both the Nasdaq and the UAE exchanges after the transition. Despite the new focus on crypto, the company said it still plans on operating its sports franchise business.
What it means: The trend of companies that have little to do with crypto pivoting hard into the space appears to be alive and well, despite predictions that the crypto treasury craze has peaked.
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The Trump administration’s pro-crypto policies have sparked momentum for many digital assets, including solana, which is up 75% in six months.
Santori said the newly minted crypto company believes solana has significant room to run, due in part to its mainstream applications.