Cypherpunk Holdings, which rebranded as Sol Strategies in mid-September 2024, has experienced a significant surge in its stock price (ticker: HODL), setting new yearly highs. The stock, which had been consolidating around the $0.13 level, saw a parabolic rise in the past week.
Given Sol Strategies’ bullish stance on Solana, many have dubbed it the ‘MicroStrategy of Solana’, drawing comparison to MSTR’s outlook on Bitcoin.
Sol Strategies Stock Up 500% Since 2024 Open
Although Cypherpunk had been trading around the $0.13 level throughout early 2024, after its rebrand in September 2024—marking the company’s all-in approach to Solana—the stock price rose significantly.
Since the start of this year, $HODL has risen by more than 500%, with 250% of that increase attributed to the rebrand alone.
Sol Strategies Price Chart | Source: Yahoo.Finance
At the time of writing, the Sol Strategies stock price is trading at $0.62.
What is Sol Strategies?
Sol Strategies is a publicly traded investment firm from Canada, originally known as Cypherpunk Holdings Inc. The firm’s primary focus was on investing in new technologies and cryptocurrencies. However, with its rebrand, the company has shifted its primary focus to the Solana ecosystem.
The company’s main strategy now involves staking Solana’s native token, SOL, and investing in DeFi projects and infrastructure. With this rebrand, Sol Strategies aims to capitalize on Solana’s growth potential. Through its stock, the company provides regulated exposure to Solana via its validator services and strategic investments.
Sol Strategies is listed on the Canadian Securities Exchange under the ticker symbol HODL and on OTC markets as CYFRF. To purchase these shares, investors need to open an account with a brokerage that offers access to either the CSE or OTC markets. Once the account is established, investors can place orders through the brokerage’s trading platform or seek assistance from their financial advisor.
Why is The HODL Price Rising?
There are several reasons why Sol Strategies may be rising in the market. First, the presence of a stock for a company primarily focused on staking Solana and investing in its ecosystem helps extend Solana’s reach within a regulated environment.
Additionally, FTX’s accepted bankruptcy plan, which permits the repayment of customers using up to $16.5 billion in recovered assets following the exchange’s collapse, has also played a part.
Sol Strategies managed to recover $611,494 in USDC from Lucy Labs Flagship Offshore Fund SPC, thanks to Lucy Labs’ recovery of capital held at FTX Trading Limited.
HODL stock technical indicators | Source: Tradingview
In addition to that declaration, Sol Strategies also unveiled its investment portfolio to the public. It was revealed that the company’s SOL holdings have increased to 100,763.0230 SOL. Furthermore, the company’s staking revenue had generated a gross profit of $266,680 as of June 2024. The company also holds 56.2406 Bitcoin in Coinbase custody.
A third reason for the surge was the additional acquisition of SOL holdings. On October 10th, the company acquired 4,134.80 SOL, increasing its total holdings to 105,249.82 SOL. Another bullish development that may have contributed to Sol Strategies’ stock price increase is the rise in delegated stake to its validator.
As of October 15, 2024, approximately 225,158.82 SOL (equivalent to CAD $48,086,433.94*) had been staked with the company’s validator. Of this, 105,288.99 SOL was delegated by the company itself, while the remainder was contributed by third-party delegators.
What Lies Ahead for Sol Strategies?
With a flurry of recent acquisitions, combined with the company’s strong bullish stance on the Solana ecosystem, this suggests promising developments ahead. As Solana enters the regulatory sphere through HODL stocks, the value of SOL’s token may rise, which could then impact the value of Sol Strategies.
Additionally, it is likely that Sol Strategies’ staking and acquisition activities will continue in the future, much like MicroStrategy’s ongoing investments in Bitcoin.
View the latest Sol Strategies stock price on Tradingview here.
