BlockBeats reported on July 2, 2025, that Solana-based reserve strategy firm DeFi Development Corp (DDC) — formerly Janover — disclosed details of its $112.5 million private funding round to acquire SOL tokens. The financing includes a risk-hedging mechanism for investors through a "prepaid forward" stock purchase arrangement.
Key Funding Breakdown
- Total Raised: $112.5 million (convertible notes)
Allocation:
- $75.6 million for prepaid forward contracts
- Remaining funds for general corporate purposes, including SOL acquisitions
- Interest Rate: 5.5% annually (semi-annual payments)
- Maturity: 2030
- Conversion Premium: 10% based on SOL’s closing price of $21.01 (July 1, 2025)
Completion is expected by July 7, 2025, with optional upsizing to $132.2 million.
Why DDC’s Strategy Matters
DDC’s approach mirrors MicroStrategy’s Bitcoin accumulation but targets Solana’s ecosystem, positioning SOL as a treasury reserve asset. This signals institutional confidence in SOL’s long-term value.
👉 Explore Solana-based investment strategies
FAQs
Q: What is a "prepaid forward" stock purchase?
A: A financial agreement where DDC secures SOL tokens upfront while providing investors downside protection against price volatility.
Q: How does the conversion premium work?
A: Investors can convert notes to equity at a 10% premium over SOL’s baseline price, incentivizing participation if SOL appreciates.
Q: Why focus on SOL tokens?
A: Solana’s high-speed, low-cost blockchain makes it a scalable alternative to Ethereum, attracting institutional interest for treasury reserves.
For actionable insights into crypto reserves, see our guide:
👉 Institutional crypto strategies decoded
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