SharpLink posts $394M Q2 loss on ETH write-downs

SharpLink has posted a $394.3 million second-quarter loss after falling ETH prices produced $397.1 million in unrealized losses and write-downs. Summary SharpLink recorded a $394.3 million net loss, compared with $103.4 million a year earlier. ETH market conditions generated a $321 million unrealized loss during the quarter. LsETH and weETH write-downs added $76.1 million in non-cash charges. The company held 886,881 ETH and ETH equivalents at the end of June. ETH write-downs outweigh revenue growth SharpLink’s second-quarter results showed that revenue reached $11.5 million during the three months ended June 30, up from about $697,000 one year earlier. Most of the quarterly loss came from SharpLink’s cryptocurrency holdings rather than its operating expenses. The company recorded a $321 million unrealized loss on assets measured at fair value as ETH traded lower during the quarter. Another $76.1 million impairment applied to its LsETH and weETH positions. SharpLink said both charges were non-cash items and did not reduce the number of ETH or ETH-equivalent tokens it controlled. The impairment still lowered the carrying value assigned to the two liquid staking tokens under U.S. gen...