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- DeFi Development grows Solana holdings to $263 million in assets.
- Company raises $122.5 million debt to expand Solana strategy.
- Staking operations generate $63,000 daily revenue from SOL tokens.
DeFi Development Corp. has solidified its position in the Solana ecosystem as its stockpile of tokens climbed to nearly $263 million. According to a Friday release, the company now holds 1,420,173 SOL and SOL equivalents, including rewards generated from staking and onchain activities.
This increase in reserves is after DeFi Development bought 110,000 SOL worth approximately $22 million at an average price of $201.68. Although Solana fell to $184.00 in the middle of Friday, the magnitude of DeFi Development’s holdings shows its active accumulation strategy.
The company used to be Janover, a real estate technology company, but it has now gone fully digital with Solana as the focus. In addition to purchases, it also operates staking, which generates consistent revenue, similar to the recurring revenue approach in Bitcoin mining.
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Debt Raise Strengthens Expansion Plans
In July, DeFi Development raised a convertible debt of $122.5 million to finance growth and strengthen its finances. The notes bear an interest rate of 5.5 percent per annum and will mature in 2030, and a conversion premium of 10 percent.
The company focuses on performance, which is measured as an Annualized Organic Yield (AOY) that measures returns on staking and validator services. Present assumptions put AOY at 10 percent, or about $63,000 of daily revenue in SOL.
Other competing companies, like Upexi and Sol Strategies, have also constructed Solana treasuries, but DeFi Development has become one of the most active purchasers. Its large-scale token acquisition and validator revenues make it unique in the competitive environment.
Other than building its treasury, the company is molding itself into a significant player in the Solana infrastructure by running validators. Therefore, this two-pronged strategy of accruing and staking revenue improves the scale and sustainability of its Solana strategy.
DeFi Development has emerged as a powerful public player in Solana treasury growth, with a balance sheet of $263 million worth of SOL. Strategic purchases of validators and revenue generation through validators have helped the firm add additional revenue streams and solidify its presence in the blockchain ecosystem.
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