Forward Industries' CIO says the company aims to become the “Berkshire Hathaway of the Solana ecosystem,” even as its treasury approaches $1 billion in unrealized losses. The statement comes as SOL has declined nearly 30% year-to-date, a drop that is impacting balance sheets across major Solana-focused digital asset treasury (DAT) firms. Solana's Price Decline Deepens Institutional Pain Forward Industries is the largest institutional holder of Solana. The company began accumulating SOL in September 2025 ...

Louisville, Colorado, Feb. 25, 2026 (GLOBE NEWSWIRE) -- CEA Industries Inc. (Nasdaq: BNC) ("BNC" or the "Company"), a growth-oriented company focused on managing the world’s largest corporate treasury of BNB, today issued a letter to shareholders from CEO David Namdar reaffirming the Company’s balance sheet strength, long-term treasury strategy, and commitment to strong corporate governance. The full text of the letter follows: Dear Shareholders, It has been some time since I’ve written to you directly, and ...

Core Insights - Peter Thiel and Founders Fund have fully exited their position in Ethereum treasury firm ETHZilla, indicating a significant shift in institutional sentiment towards this model [1][3] - The exit comes after a previous investment that saw a 90% increase in stock value, suggesting a cooling enthusiasm for Ethereum treasury strategies amid market volatility [1][3] Group 1: Exit Implications - Founders Fund was a major early investor, holding a 7.5% stake, which provided institutional validation for Ethereum-linked balance sheet strategies [3] - The complete liquidation of their position signals a lack of confidence in this specific treasury model, although it does not imply a bearish stance on crypto overall [4] Group 2: Market Reaction - Following the SEC filing, ETHZilla shares fell nearly 7% in premarket trading, now priced around $3.20, marking a 97% decline from the $107 peak last August [5][7] - The company's recent actions, including selling $40 million worth of ETH for stock buybacks and $74.5 million to manage debt, reflect ongoing financial challenges [5] Group 3: Strategic Shift - ETHZilla is pivoting towards real-world asset tokenization, focusing on sectors like housing loans and aircraft engines, moving away from pure ETH accumulation [6][7] - The success of this new strategy will depend on its ability to generate real revenue and stabilize the business model [6]

Core Insights - Peter Thiel's Founders Fund has completely divested from ETHZilla, a digital asset treasury firm holding Ethereum, amid a downturn in the crypto market [1][4] - The digital asset treasury strategy gained traction last year, with firms accumulating cryptocurrencies as reserve assets, but the current market conditions have led to significant pressure on these firms [2][4] Company Performance - ETHZilla, formerly known as 180 Life Sciences, has faced challenges due to the declining value of Ethereum, reducing its holdings from over 100,000 ETH to 69,802 ETH [8][9] - The company has executed multiple sales of Ether, including a $40 million sale for share buybacks and a subsequent $74.5 million sale to repay debt [8][9] Market Context - Ethereum experienced a 28.4% decline in Q4 2025, marking its first negative fourth quarter since 2022, with further declines in early 2026 [5] - The broader crypto market has been under pressure, with significant losses reported by digital asset treasury firms, including BitMine, which has unrealized losses exceeding $7 billion [7]

Financial Data and Key Metrics Changes - Revenue in Q1 2026 increased more than four times to $21.4 million, compared to $4.6 million in Q1 2025 [16] - Gross margin increased significantly to 78.6% in Q1 2026, compared to 24.5% in Q1 2025 [16] - Net loss for Q1 2026 was approximately $585.6 million, compared to a net loss of $0.7 million in Q1 2025, primarily due to a loss on digital assets [18] Business Line Data and Key Metrics Changes - Forward held approximately 6,962,501 Solana, with more than 99% staked, generating a staking yield between approximately 6.5% and 7.2% [12] - Fully diluted SOL per share increased from 0.0604 at the end of September 2025 to 0.0624 at the end of December 2025, representing a growth of roughly 13% [13][14] Market Data and Key Metrics Changes - Solana continues to lead across key metrics, including decentralized exchange trading volumes, active users, and developer engagement [6] - Institutional engagement has expanded significantly, with major asset managers like WisdomTree launching tokenized funds on Solana [7] Company Strategy and Development Direction - The company aims to build a permanent capital vehicle that participates directly in the growth of the Solana ecosystem, evolving beyond a treasury into an active value-generating business [5] - Forward Industries is focused on compounding SOL per share by participating directly in economic activities occurring on-chain [6] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the volatility in the market but emphasizes the importance of Solana's current performance and real-world applications [6] - The company believes that the opportunity in front of Solana is increasingly clear, with a focus on long-term growth [5] Other Important Information - Forward became one of the first public companies to have its SEC-registered shares live on a public blockchain, with FWDI now issued on Solana [8] - The company launched fwdSOL, a proprietary liquid staking token, representing approximately 25% of its SOL holdings [9] Q&A Session Summary Question: Thoughts on recent token price volatility - Management noted that SOL is down approximately 70% from its all-time high, which is typical in the crypto market, and emphasized maintaining a clean balance sheet [19][20] Question: Potential M&A framework - The company is looking for accretive businesses in both DAT and non-DAT M&A, with a focus on product market fit and scalable unit economics [23] Question: Importance of SOL per share as a KPI - SOL per share growth is considered the North Star KPI, with a target to consistently generate returns greater than the staking yield [24] Question: Capital allocation strategy in different market conditions - The company plans to be adaptive, focusing on balance sheet quality and potential M&A opportunities when trading at discounts [40][41] Question: Staking yields and network usage growth - Management clarified that increased validator participation does not impact staking yields, and they expect yields to increase as network activity grows [44][46] Question: Related party G&A expenses - Related party expenses are associated with the launch of the digital asset treasury strategy and are expected to decrease in the coming months [50]

Hyperliquid Strategies Inc. has released its financial results, detailing an aggressive expansion of its treasury alongside substantial paper losses linked to crypto market volatility. The publicly listed digital asset treasury (DAT) confirmed that it deployed $129.5 million to acquire approximately 5 million additional HYPE tokens at an average price of about $25.9. Hyperliquid Strategies Expands HYPE Treasury Despite Volatility and Q4 Losses The purchase brings Hyperliquid’s total holdings to roughly ...

Core Insights - Hyperliquid Strategies Inc reported its financial and operational results for the quarter and six months ended December 31, 2025, highlighting its position as a leading digital asset treasury platform focused on the Hyperliquid ecosystem [1] - The company expressed optimism about its future growth, driven by innovations and the expansion of the Hyperliquid ecosystem, despite facing unrealized losses due to market volatility [1] Financial Highlights - The company reported a net loss of $317.9 million for the six months ended December 31, 2025, primarily due to $262.4 million in unrealized losses on HYPE tokens and a one-time $35.6 million IPR&D write-off [1] - Revenue for the period included $0.9 million in interest income and $0.5 million in staking revenue from HYPE holdings [1] - As of December 31, 2025, the company had total assets of $616.7 million, including $281.9 million in cash and $327.6 million in HYPE tokens [1] Treasury Strategy Progress - The company has $125 million in remaining deployable capital, supported by a $1 billion Equity Line of Credit (ELOC) facility [1] - It has deployed $129.5 million to acquire approximately 5.0 million additional HYPE tokens, increasing total holdings to 17.6 million [1] - The company repurchased approximately 3.0 million PURR shares for $10.5 million, reducing the fully diluted share count to 150.6 million [1] Hyperliquid Ecosystem Momentum - Hyperliquid's decentralized exchange generated over $800 million in annual fees and processed billions in daily trading volumes [1] - Key growth drivers include upcoming innovations like portfolio margin and prediction markets, as well as the rapid adoption of builder codes by major platforms [1] - The company has launched over 100 real-world asset (RWA) perps, enhancing its market offerings [1]

Core Insights - Hyperliquid Strategies Inc reported financial results for the quarter and six months ended December 31, 2025, highlighting its position as a leading digital asset treasury platform focused on the Hyperliquid ecosystem [1] Financial Performance - The company experienced a net loss of $317.9 million for the six months ended December 31, 2025, primarily due to $262.4 million in unrealized losses on HYPE tokens, a one-time $35.6 million IPR&D write-off, and a $17.8 million increase in deferred tax expense [1] - Revenue generated included $0.9 million in interest income and $0.5 million in staking revenue from HYPE holdings [1] - The company reported a strong balance sheet with $589.8 million in stockholders' equity and no debt, and total assets of $616.7 million as of December 31, 2025 [1] Treasury Strategy - Hyperliquid Strategies Inc established a strong initial treasury with 12.5 million HYPE tokens and $300 million in cash contributed by investors [1] - As of February 3, 2026, the company had $125 million in remaining deployable capital and a $1 billion Equity Line of Credit (ELOC) facility [1] - The company deployed $129.5 million to acquire approximately 5.0 million additional HYPE tokens, increasing total HYPE holdings to 17.6 million [1] Ecosystem Growth - Hyperliquid's decentralized exchange generated over $800 million in annual fees and processed billions in daily trading volumes [1] - Key drivers of ecosystem growth include upcoming innovations such as portfolio margin and prediction markets, as well as explosive growth in real-world asset (RWA) perps with over 100 perps launched [1] - Rapid adoption of builder codes by major platforms is enabling permissionless front-end integrations and generating tens of millions in fees [1] Company Updates - The company plans to relaunch its website on February 11, 2026, which will include a section tracking the "Adjusted Net Asset Value" for enhanced transparency [1] - An audio webcast with Q&A is scheduled for February 11, 2026, featuring CEO David Schamis and CFO Brett Beldner [1]

Financial Data and Key Metrics Changes - For the second quarter, total revenue was approximately $8.1 million, an increase of approximately $4 million or just over 100% compared to $4 million in the prior year quarter [15] - The net loss for the quarter was approximately $178.9 million or approximately $2.94 per share, primarily driven by $164.5 million of unrealized losses on digital assets [15][16] - The company had approximately $1.6 million in cash and 2.17 million Solana tokens as of December 31st [14] Business Line Data and Key Metrics Changes - Digital asset revenue for the six months ended December 31st, 2025, was approximately $11.2 million, reflecting the addition of the digital asset treasury business [14][15] - The treasury had an unrealized loss on digital assets of approximately $86.4 million, reflective of the Solana price per token of $124.48 at December 31st, 2025 [14][16] Market Data and Key Metrics Changes - The price of Solana fell 40% during the quarter and has fallen a further 31% since the quarter end [4][5] - The spot Solana ETFs launched and have seen over $850 million of net inflows since [11] Company Strategy and Development Direction - The company aims to increase yield, hedge positions using a maturing options market, and capitalize on top opportunities created by market volatility [8] - The strategic plan includes raising capital above NAV to increase digital assets per share and issuing in-kind convertible notes at a premium to NAV [18] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the future despite challenges, citing improving fundamentals for Solana and the potential for price appreciation [5][6] - The company believes that the subsector will work through oversupply through M&A or asset sales, and anticipates multiple expansion in a bull market [7][8] Other Important Information - The company became shelf-eligible during the quarter and filed a shelf registration statement on Form S-3 with the SEC [12] - A $50 million share repurchase program was announced, adding another tool for capital management [12] Q&A Session Summary Question: Any change in terms of capital raising strategy given the pressure on Solana? - Management stated there has been no change in perspective and they continue to aim to raise capital above NAV [22] Question: How to weigh buying SOL versus keeping a reserve? - Management emphasized the importance of maintaining cash reserves during volatile periods and mentioned the potential for hedging positions as the options market matures [24][25] Question: Any updates on generating additional yield outside of staking? - Management is exploring a strategy that can generate high yield in a low-risk way, with a focus on recurring and low-risk opportunities [35]

Financial Data and Key Metrics Changes - For the second quarter, total revenue was approximately $8.1 million, an increase of approximately $4 million or just over 100% compared to $4 million in the prior year quarter [15] - For the six months ended December 31st, 2025, total revenue was $17.3 million, compared to $8.4 million in the prior period [15] - The net loss for the quarter was approximately $178.9 million or approximately $2.94 per share, primarily driven by $164.5 million of unrealized losses on digital assets [15][16] - The company had approximately $1.6 million in cash and 2.17 million Solana tokens as of December 31st [14] Business Line Data and Key Metrics Changes - Digital asset revenue for the six months ended December 31st, 2025, was approximately $11.2 million, reflecting the addition of the digital asset Treasury business [14][15] - The Treasury had an unrealized loss on digital assets of approximately $86.4 million, reflective of the Solana price per token of $124.48 at December 31st, 2025 [14][16] - The company increased the number of Solana tokens in its Treasury during the quarter by approximately 106,000 tokens [16] Market Data and Key Metrics Changes - The price of Solana fell 40% during the quarter and has fallen a further 31% since the quarter end [4][5] - The Spot Solana ETFs launched and have seen over $850 million of net inflows since [11] Company Strategy and Development Direction - The company aims to increase yield, hedge positions using a maturing options market, and capitalize on top opportunities created by market volatility [8] - The strategic plan includes raising capital above NAV to increase digital assets per share and issuing in-kind convertible notes at a premium to NAV [18] - The company is focused on developing a high-yield strategy that is low-risk and familiar to traditional investors, with plans to launch this strategy in the second quarter [29][36] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the future despite a turbulent start to 2026, citing potential for Solana price appreciation and the ability to increase Solana per share [6][8] - The company believes that the subsector will work through oversupply through M&A or asset sales, and expects multiple expansion in a bull market [7][8] - Management emphasizes the importance of maintaining cash reserves and being prudent in capital allocation during volatile market conditions [24][25] Other Important Information - The company became shelf-eligible during the quarter and filed a shelf registration statement on Form S-3 with the SEC [12] - A $50 million share repurchase program was announced, adding another tool for capital management [12] Q&A Session Summary Question: Any change in terms of capital raising strategy given the pressure on Solana? - Management stated there has been no change in perspective and they continue to aim for raising capital above NAV [22] Question: Weighing buying SOL versus keeping a reserve? - Management emphasized the importance of maintaining cash reserves during volatile periods and being prudent with capital [24] Question: Any updates on generating additional yield outside of staking? - Management is in the exploratory phase for high-yield strategies that are low-risk and will provide more details in the future [35]