SharpLink Gaming's stock plunged nearly 15% following its reporting of a $103 million net loss for Q2 2025, a stark contrast to the previous year’s net income of approximately $12 million. The company, focused on integrating Ethereum into its operations, saw revenue drop by 30% year-over-year to $1.4 million, alongside a 50% decrease in gross profit. The reported losses were largely attributed to an $87.8 million non-cash impairment loss on its LSE holdings tied to Ethereum, coupled with $16.4 million in stock-based compensation related to its advisory agreement with blockchain firm Consensys. Amid these financial difficulties, Ethereum's price dipped below $4,400, influenced by strong economic data and geopolitical tensions. As of the report, SharpLink holds approximately 728,804 ETH, valued at $3.23 billion. The need for investors to distinguish between cash and non-cash losses was emphasized by SharpLink's CFO during an earnings call.

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