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The Coin Rise 2025-07-02 21:00:15

DeFi Development Corp. Raises $112.5M to Boost Solana Holdings

DeFi Development Corp (DDC), a leading company in the Solana blockchain space, recently shared that it has completed a $112.5 million private funding round. This operation is designed to support its ongoing effort to purchase SOL tokens. The firm introduced a financial tool called a “prepaid forward” to help investors mitigate potential risks associated with their investment. Details of the DDC’s Latest Funding Round The company has arranged to issue convertible notes totaling $112.5 million. If investors decide to use their options fully, the total value could reach about $132.2 million. These notes will mature in 2030 and carry an annual interest rate of 5.5%, payable semiannually. The notes also include a 10% conversion premium based on the closing SOL price of $21.01 on July 1, 2025. Convertible notes are a type of loan that can later be converted into company shares, typically at a set price or discount. This allows companies like DDC to raise money without immediately setting a value for the firm. This financial approach has become increasingly popular among firms that adopt crypto treasuries . DeFi Development Corp.’s Strategy and Background DeFi Development Corp is one of the most active publicly traded firms in the market, purchasing SOL tokens. The company rebranded in April 2025 after being acquired by former executives from Kraken, a well-known cryptocurrency exchange. Previously, the firm operated under the name Janover, focusing on real estate technology. Now, it not only purchases and stakes SOL tokens but also earns income similar to Bitcoin mining through its staking activities. DDC’s leadership believes that the staking revenue could enable the firm to continue purchasing SOL tokens without requiring additional capital from outside investors. DDC To Use Innovative Financial Moves to Manage Risk As part of the funding deal, DDC will utilize approximately $75.6 million from the raised funds to execute a “prepaid forward” stock purchase. This special arrangement allows investors to create short positions. This provides investors with a means to hedge or mitigate the risk associated with their investment in the convertible notes. Investors can buy or sell shares on the day DDC prices the notes, which helps balance their potential losses. The remaining funds from the $112.5 million raise will be used for general business activities, including further SOL token purchases. In June, the company faced a regulatory setback in its plan to raise $1 billion for its Solana treasury. However, it later secured an extensive $5 billion line of credit, which strengthened its finances. Recently, DFDV shares have dropped about 9.5% and were trading around $19.01. Nevertheless, on-chain data indicate that the company owned 621,313 SOL tokens, valued at approximately $107 million as of the end of May. This large number of tokens indicates DDC’s strong focus on expanding its holdings on Solana. The post DeFi Development Corp. Raises $112.5M to Boost Solana Holdings appeared first on TheCoinrise.com .

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