- Shares of CleanCore Solutions (ZONE) plummeted nearly 60% after the company announced a US$175 million private placement to fund a new treasury strategy focused on holding Dogecoin.
- The deal, which involves issuing 175 million pre-funded warrants, will use the proceeds to purchase Dogecoin, with the goal of positioning the memecoin as a “credible reserve asset” for payments and tokenisation.
- CleanCore has appointed a new leadership team with strong ties to the crypto space, including Elon Musk’s attorney Alex Spiro as board chairman and Dogecoin Foundation director Timothy Stebbing to its board.
CleanCore Solutions (ZONE) shares fell nearly 60 % on Tuesday after the Nebraska-based firm announced a US$175M (AU$266M) private placement to create a Dogecoin-focused digital asset treasury.
The deal involves 175 million pre-funded warrants priced at US$1 (AU$1.52) each, with more than 80 participants including Pantera, GSR, and FalconX, with all proceeds earmarked to fund Dogecoin purchases for the company’s reserves and support ongoing operations.
The placement is expected to close on September 4, pending regulatory approval. The company said its goal is to position the memecoin as a “credible reserve asset” for payments and tokenisation. It also plans to explore staking-like yield opportunities with exchanges to generate returns.
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At the time of the announcement, CleanCore’s stock brutally dropped from its prior close of US$6.86 (AU$10.45) to about US$2.69 (AU$4.09).
Firm Appoints Musk Confidant to Board Position
CleanCore appointed Quinn Emanuel partner Alex Spiro, known for representing Elon Musk, as board chairman. Dogecoin Foundation director Timothy Stebbing also joined the board, while House of Doge CEO Marco Margiotta was named chief investment officer. House of Doge and digital asset manager 21Shares will advise on treasury strategy.
21Shares was also the first to launch a Dogecoin ETP, endorsed by the Dogecoin Foundation. The ETP is fully regulated under European financial laws, and backed by DOGE held in custody.
DOGE is currently trading at US$.21 (AU$0.32), a modest 7.5% increase in the last seven days, according to data from CoinGecko.
Dogecoin’s proof-of-work (PoW) blockchain is currently Qubic’s target, after the layer-1 protocol announced that its community voted to 51% attack Dogecoin just to “prove its resilience”.
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