SharpLink — the first publicly listed company to use Ethereum (ETH) as its primary reserve asset — is drawing attention after moving ETH to an OTC exchange.

The transfer comes as ETH has dropped more than 20% in November. The move has triggered speculation that SharpLink may be selling to cut losses or restructuring its portfolio.

SharpLink Faces Record Unrealized Losses

According to Onchain Lens, using data from Arkham, a wallet linked to SharpLink transferred 5,442 ETH — worth approximately $17.02 million — to Galaxy Digital, a major digital asset management platform.

This move has raised concerns that the company may be attempting to sell in an effort to reduce losses or rebalance its holdings.

Data from the Strategic ETH Reserve (SER) shows that SharpLink is sitting on $479 million in unrealized losses due to ETH’s price decline. CryptoQuant data indicates an even larger figure, exceeding half a billion USD.

SharpLink DAT Unrealized PnL. Source: CryptoQuant.

CoinGecko data reveals that SharpLink’s average purchase price is $3,609. ETH is now falling toward the $3,000 level. The company made its most recent purchase one month ago and has not added to its position since then.

SharpLink ETH Purchases. Source: Strategic ETH Reserve (SER)

“With ETH trading near this cost basis, this move strongly suggests a possible OTC sale or a major portfolio rebalancing to reduce risk exposure,” investor Rose commented.

SharpLink is currently the second-largest ETH-holding institution after Bitmine. The company holds 859,853 ETH, representing 0.712% of the total ETH supply, valued at more than $2.6 billion.

Meanwhile, SBET shares have fallen from above $80 — when SharpLink began its ETH reserve strategy — to $10.55 today. This marks a decline of more than 86%. SBET now trades at a 19% discount to NAV.

<img alt="SharpLink Moves ETH to Galaxy Digital Amid 9 Million in Unrealized Losses" title="SharpLink Moves ETH to Galaxy Digital Amid 9 Million in Unrealized Losses" s SBET Price. Source: Yahoo Finance." src="/d/file/articles/uploads/2025-11-19/p3ywc4lupsy_18079.png">SharpLink Gaming’s SBET Price. Source: Yahoo Finance.

Overall, ETH accumulation activity among DATs has slowed in November. Purchases are no longer occurring daily, as was the case in previous months. The shift signals a change in sentiment, from aggressive accumulation to caution, toward the end of 2025.

SharpLink Maintains Commitment to its ETH Accumulation Strategy Despite Price Declines

However, in its latest announcement on X, SharpLink reported generating 336 ETH in staking rewards last week. This brings its total staking-reward accumulation to 7,403 ETH, equivalent to approximately $1.1 million in generated value.

SharpLink Cumulative Staking Rewards. Source: SharpLink

Nearly all of the company’s ETH is staked. This indicates a long-term commitment to its strategy despite market volatility.

“Our treasury continues to generate value regardless of price,” SharpLink stated.

SharpLink Gaming reported Q3 2025 revenue of $10.8 million, up 1,100% year-over-year. Net income reached $104.3 million, driven by the firm’s Ethereum treasury strategy.

The report made SharpLink one of the first ETH-based DATs to post positive earnings.

SharpLink’s actions, along with those of other ETH-focused DATs, show that these entities are betting on a much larger long-term play. Recently, Bitwise CIO Matt Hougan said that only complex, value-adding DATs deserve premiums, while passive DATs risk trading at discounts.