Cypherpunk Holdings, a Toronto-based publicly traded investment firm, has significantly boosted its Solana (SOL) holdings. On July 16, the firm announced that it now possesses over 63,000 SOL tokens, valued at nearly $14 million.
This marks a substantial increase from last month when Cypherpunk held only 6,131 SOL tokens. At the end of the first quarter of 2024, the firm reported holding no Solana tokens at all.
Running a Solana Validator Node
In addition to increasing its SOL holdings, Cypherpunk Holdings revealed plans to run its own Solana validator node. The firm intends to stake 49,917 tokens, worth approximately $11 million, using its proprietary Solana node. Staking a majority of its Solana holdings will allow Cypherpunk to participate actively in network validation and governance.
Cypherpunk Holdings is also exploring the SOL options trading market. According to its latest financial statement, Cypherpunk’s total assets increased by $14.3 million to $31.3 million over the last six-month period. The firm uses Coinbase as a custodian for its Bitcoin (BTC) and Solana (SOL) holdings.
Future Prospects for SOL Price
The imminent launch of the first spot Ether exchange-traded funds (ETFs) has opened the floodgates for more crypto exchange-traded products. Eric Balchunas, a senior ETF analyst at Bloomberg, suggests that the success of Ether ETFs could pave the way for Solana-based ETFs.
“Keep in mind after launch there are flows and then additional ETH products I’m sure, then Solana, and then… it’s probably never going to end. The dam has broken,” Balchunas commented in X.
Cryptocurrency analyst Ali Martinez predicts a bullish run for Solana (SOL), amid growing market optimism. Martinez identifies a double-bottom pattern in technical analysis, signaling a bullish reversal.
SOL was last seen at around $174 six weeks ago. If Martinez’s prognosis holds, it would imply a 13% bounce from its current price levels.
However, Solana’s price still remains 24% lower than its $209 peak in March.