Headline: SharpLink to Allocate $200 Million in ETH to DeFi Protocols on Linea Ecosystem Translation: SharpLink to Allocate $200 Million in ETH to DeFi Protocols on Linea Ecosystem

SharpLink Gaming is set to allocate $200 million in ETH within the Linea L2 ecosystem developed by ConsenSys. This funding will come from the company’s Ethereum reserves.

*“We believe that ETH will emerge as the settlement layer for the global financial system, and we are building the infrastructure to support this future,”* the company stated.

The long-term strategy aims to achieve a «competitive, diversified, and risk-adjusted return» in the second-largest cryptocurrency by market capitalization. SharpLink plans to generate returns through staking and restaking via the EigenCloud AVS protocol, as well as through incentive payments from Linea and the ether.fi protocol.

Asset management will be overseen by the custodian Anchorage Digital Bank.

*“Ethereum is establishing a programmable foundation for next-generation financial markets. The mission of Linea is to transform ETH from a mere instrument into a productive asset that appreciates with each new transaction,”* noted ConsenSys founder Joseph Lubin.

Currently, SharpLink is the second-largest holder of Ethereum among publicly traded companies, with a total of 859,400 ETH valued at $3.4 billion.

The company aims to accumulate 5% of the total supply of the leading altcoin.

SharpLink is not alone in leveraging DeFi for managing its reserves. In early September, the firm ETHZilla allocated $100 million in cryptocurrency via the ether.fi platform.

In February, the nonprofit Ethereum Foundation invested 45,000 ETH into decentralized protocols, including Spark and Compound.

Centralized exchanges have also joined this new trend. Previously, Coinbase partnered with the lending service Morpho, while Crypto.com announced the integration of this DeFi platform into its Cronos blockchain.

It’s worth mentioning that in September, decentralized finance protocols earned $600 million from fees, with Uniswap leading the charge.