SharpLink (SBET) investor relations material

Executive summary

• Nine months into executing an institutional-grade ETH treasury strategy focused on compounding ETH per share through disciplined capital allocation and yield generation.

• Strategy centers on accretive ETH accumulation, productivity, and scaling advantage over time, with a focus on risk management.

• Q1 2026 results showed total revenue of $12.1 million, up from $0.7 million year-over-year, driven by active ETH treasury management.

• Net loss widened to $685.6 million, primarily due to non-cash unrealized losses and impairment charges on ETH holdings.

• Announced a co-branded Onchain Yield Fund with Galaxy Digital, targeting $125 million deployment, with Sharplink contributing 80% of capital.

Financial highlights

• As of March 31, 2026, held 589,305 native ETH ($1.2B fair value), 189,327 LsETH, and 66,102 weETH ($487M net cost value).

• ETH holdings increased to 872,984 as of May 4, 2026, with total staking rewards since June 2025 of 18,800 ETH.

• Q1 2026 revenue was $12.1M, up from $0.7M in Q1 2025, mainly from ETH treasury activities and $200M deployment onto Linea Layer 2.

• Net realized gain for Q1 2026 was $12M from ETH-to-LSETH conversions and incentives.

• Net loss was $685.6M, mainly due to $191.7M impairment charge and $506.7M unrealized loss from market conditions.

• SG&A expenses rose to $9.9M from $1.1M year-over-year, reflecting treasury strategy execution and scaling infrastructure.

• Cash and cash equivalents were $16.9M as of March 31, 2026, down from $28.5M at year-end 2025.

Outlook and guidance

• Expect continued strong institutional adoption of Ethereum, with stablecoins, tokenization, DeFi, and agentic finance as key growth pillars.

• Anticipate further ETH productivity opportunities, including additional fund partnerships and on-chain vault strategies.

• Majority of ETH will remain in staking and liquid staking, with a minority allocated to higher-yield strategies.

• Focus remains on exceeding the Ethereum staking rate through a diversified, risk-managed portfolio.

• Forward-looking statements highlight risks related to ETH price volatility, regulatory changes, and fund launch uncertainties.