crypto-economy.com
- DeFi Development Corp expanded its Solana treasury to 2.39 million $SOL, recording an increase of 55,491 tokens since August 27.
- The company established a $300 million at-the-market offering for its perpetual preferred share CHAD, with an initial annual dividend rate of 13%.
- With this expansion, the firm positions itself as the second-largest Solana treasury in the market, behind Forward Industries.
The Nasdaq-listed company DeFi Development Corp. reported that its Solana holdings grew by 55,491 $SOL since August 27, reaching approximately 2.39 million $SOL and equivalents, representing an increase of around 2% during that period. The company, identified by the ticker DFDV, continues to accumulate $SOL consistently while generating organic yield on its staking positions.
Additionally, DeFi Development Corp established an at-the-market offering of up to $300 million for its perpetual preferred share CHAD, the variable-rate Series C, whose shares will be issued at a value equal to or above their par price of $10 and whose initial annual dividend rate is 13%. The funds raised will be used primarily for the purchase of additional $SOL tokens.
The Capital Management Behind DeFi Development Corp
Joseph Onorati, chief executive officer of DeFi Development Corp, explained the mechanism in an official statement: “We are growing our $SOL treasury with DFDV generating double the return of $SOL so far this quarter. With a $300 million ATM already in place, we have the structure to scale CHAD as a new growth engine, and we intend to issue at $10.00 par or above. The flywheel is spinning and we now have greater capacity to put it to work.”
The operational logic behind this mechanism is what the company calls the “capital flywheel“: raise capital, accumulate $SOL, generate yield and increase $SOL per share progressively. This scheme bears similarities to the model popularized by Strategy with Bitcoin, now adapted to the Solana ecosystem.
DFDV currently holds second place in the ranking of corporate $SOL treasuries, behind Forward Industries (FWDI). Last month, the company also launched a public real-time data and research platform that monitors market metrics, staking, validators, performance and the Solana network ecosystem.