DeFi Development Corp, the pioneering public company in the United States centered around a treasury strategy linked to the Solana blockchain, has announced intentions to raise $100 million via a private offering of convertible senior notes, set to mature in 2030.
This financing initiative, disclosed on Tuesday, emerges amid increasing speculation surrounding the greenlighting of Solana exchange-traded funds (ETFs).
DeFi Development Corp Intensifies Focus on Solana with $100M Offering
The company stated that the offering will target qualified institutional buyers in compliance with Rule 144A of the Securities Act. Additionally, these buyers may receive an opportunity to purchase an extra $25 million worth of notes within 13 days of the initial issue date.
1/ Today, we announce a $100M private convertible note offering, with plans to accumulate more $SOL.
Here’s what it means. pic.twitter.com/LGdJAuKDM6
— DeFi Dev Corp. (@defidevcorp) July 1, 2025
The notes will be unsecured and feature an interest rate payable biannually, with a maturity date set for July 1, 2030. Conversion of the notes into equity will be restricted before January 2030, though conversion will be permitted at any time thereafter. Holders may exchange the notes for cash, common stock, or a combination of both, based on terms established during the pricing process.
Portions of the raised capital will be directed toward repurchasing the company’s common stock through a prepaid forward agreement with one of the buyers. The remaining funds are earmarked for operational costs, particularly for the accumulation of Solana (SOL), a crucial aspect of the company’s asset strategy.
This offering also includes a protective measure for investors, allowing them to use derivatives to mitigate their exposure, which may impact the company’s stock price not only at issuance but throughout the duration of the notes, particularly during conversion opportunities.
Nevertheless, this fundraising effort follows a recent regulatory setback. On June 11, the company withdrew its $1 billion registration with the U.S. Securities and Exchange Commission (SEC), after it was deemed ineligible for the expedited S-3 filing due to a missing internal controls report in its latest Form 10-K.
The S-3, originally submitted in April, was aimed at generating capital to establish a significant SOL treasury, mirroring similar strategies seen with Bitcoin investments, expecting returns from long-term staking and asset appreciation.
Despite this obstacle, DeFi Development Corp is steadfast in pursuing its vision centered around Solana, now pivoting to private market funding strategies.
As Interest in SOL ETFs Grows, DeFi Development Corp Executes Strategic Funding After Stock Dip
This fundraising initiative comes on the heels of a 16% decline in DFDV’s stock on June 24, signaling a strategic maneuver to stabilize capital and bolster investor confidence.
The timing coincides with a surge of institutional interest in Solana, as the SEC nears critical decisions regarding several crypto ETF applications, including proposals for spot Solana ETFs, which could further enhance demand for the token.
Bloomberg analysts Eric Balchunas and James Seyffart recently elevated their approval predictions for SOL, XRP, and LTC ETFs to a near certainty, with key deadlines approaching this October.
Bloomberg ETF analysts have sharply raised expectations for US approval of spot funds tracking Solana, Litecoin, and XRP.#ETFs #XRPhttps://t.co/dKK2ZIbW8c
— Finance Newso.com (@Finance Newso) July 1, 2025
Furthermore, a broader crypto index ETF could gain approval even sooner, with analysts estimating the likelihood of that product entering the market this week at 95%. This could be followed by a wave of new altcoin ETFs—including those for Dogecoin, Cardano, and Polkadot—by the end of the year.
On June 1, the Rex Shares–Osprey SOL + Staking ETF ($SSK) launched successfully, marking it as the first U.S. ETF to offer staking exposure.
This fund satisfies regulatory demands by channeling 40% of its assets into globally-listed Solana products, circumventing stricter regulations established under the Investment Company Act of 1940.
In another development, one day prior, the SEC authorized Grayscale’s Digital Large Cap Fund (GDLC) to transform into an ETF, providing indirect exposure to Solana alongside major cryptocurrencies like Bitcoin, Ethereum, XRP, and Cardano.
SEC Approves Grayscale Conversion of the Digital Large Cap Fund, turning it into a spot ETF tracking Bitcoin, Ethereum and other majors. @Grayscale and @SECGov filings indicate trading will start soon, pending logistics. #ETF #Crypto https://t.co/tGWFaISU19
— Finance Newso.com (@Finance Newso) July 1, 2025
In light of escalating ETF speculation and the rising interest in Solana-linked products, DeFi Development Corp’s recent move underscores both a defensive approach and an opportunistic strategy.
Should ETF approvals occur in the forthcoming weeks, the company could find itself in a prime position to take advantage of renewed interest in SOL assets.
However, the success of the offering remains contingent on prevailing market conditions and finalized pricing agreements with institutional buyers. The company has yet to announce when the transaction will be concluded.
The post DeFi Development Corp Races to Raise $100M for SOL – ETF Green Light Next? appeared first on Finance Newso.
