Pantera Capital Raises $1.25 Billion to Create Solana Reserve

The Solana Treasury Reserve Race

The cryptocurrency market saw a remarkable shift in 2025, as Solana emerged as a force to be reckoned with thanks to its high transaction throughput, low fees, and robust development activity. Boasting more than 3.8 million daily active wallets and generating $1.3 billion in application revenue year-to-date, Solana has surpassed competitors like Ethereum in on-chain activity, making it an attractive target for institutional investment. This backdrop sets the stage for Pantera’s latest project, which builds on its previous $300 million investment in digital asset (DAT) fund managers across a variety of tokens, including Solana.

Pantera’s motivation appears to stem from Solana’s unique strengths, including its roughly 7% staking yield — the highest among leading blockchains — which provides a lucrative source of passive income. The company’s leadership, including founder Dan Morehead, sees this as an opportunity to capitalize on Solana’s growth potential, especially as the blockchain draws attention from decentralized finance (DeFi), non-fungible tokens (NFTs), and tokenized real-world assets. The decision to convert a Nasdaq-listed shell company into “Solana Co.” reflects a strategic move to provide regulated public market exposure to SOL, attracting institutional investors who are wary of owning cryptocurrency directly. This is in line with the general trend of companies like MicroStrategy with Bitcoin and BitMine with Ethereum, but Pantera’s focus on an altcoin like Solana signals diversification of the treasury asset class.

Strategic framework and importance

The $1.25 billion plan is structured in two phases: an initial $500 million capital raise to kickstart the transition, followed by $750 million via warrants to scale the fund. This approach leverages an existing Nasdaq entity — as yet unnamed — to become a dedicated vehicle for accumulating SOL, potentially holding more than the current total $695 million in public Solana bonds (0.69% of SOL’s total supply). Pantera’s existing stakes in companies like DeFi Development Corp and SharpLink Gaming, along with its recent backing of Sharps Technology’s $400 million Solana fund, underscore the company’s deep commitment to the ecosystem.

The implications of the move are manifold. First, it positions “Solana Co.” as a pioneer in altcoin treasury strategies, challenging the Bitcoin-centric models that have dominated enterprise adoption. Second, it could boost Solana’s credibility with institutions, connecting traditional finance with blockchain innovation. Analysts say a treasury of such size could boost liquidity, reduce free float, and potentially push the price of SOL higher, especially as it hovers around $195. Furthermore, a public listing offers a regulated path for investors, potentially attracting pension funds and hedge funds that want to gain exposure to crypto without the complexities of direct ownership.

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