The shares of Mill City Ventures (MCVT) are surging as the Nasdaq-listed specialty finance firm reveals a new treasury strategy using layer-1 protocol Sui (SUI).
In an announcement, Minnesota-based Mill City Ventures says it will raise $450 million in a non-public offering, or private placement, and use most of the funds to establish a Sui cryptocurrency treasury strategy.
Crypto treasury companies are publicly traded or private companies that hold digital assets on their balance sheets as part of their treasury reserve strategy.
Shares of MCTV closed Thursday at $1.85. Trading began to surge on Friday, when the stock closed at $5.90. On Monday, shares reached a high of $7.99 and are trading for $6.80 at time of writing.
The private placement involves selling 83,025,830 shares of common stock at $5.42 per share.
London-based Karatage Opportunities, a digital assets-focused hedge fund, led the funding round along with the Sui Foundation.
Says Stephen Mackintosh, a general partner at Karatage who now plans to serve as Mill City Ventures’ chief investment officer,
“We’re launching at a pivotal moment when both institutional crypto and AI are reaching critical mass – creating significant opportunities across blockchain infrastructure. We believe that Sui is well positioned for mass adoption with the speed and efficiency institutions require for crypto at scale, plus the technical architecture capable of supporting AI workloads while maintaining security and decentralization.”
Mill City plans to acquire SUI on the open market as well as through a sales agreement with the Sui Foundation.
SUI is trading for $4.05 at time of writing, down 5.7% in the last 24 hours.
Follow us on X, Facebook and Telegram
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
Credit: Source link
