DeFi Development Corp plans $1B Solana investment & treasury growth – CryptoTvplus

DeFi Development Corp. is seeking to raise $1 billion to expand its Solana investments and build a larger treasury. This move comes as the company, once known for connecting real estate buyers with lenders, pivots toward digital assets.

The Nasdaq-listed firm revealed in an April 25 filing with the U.S. Securities and Exchange Commission that it plans to use the new capital for general operations and to purchase Solana tokens. The company’s leadership made it clear that the funds would support acquisitions and sustain daily business needs.

The filing explained that while Solana does not generate fixed interest, staking activities could offer returns. Yet the company warned that any profits would depend entirely on Solana’s price movements, which have been historically unpredictable. Proceeds could potentially decrease if the tokens lose value prior to their conversion into cash.

The company’s rebranding began after a leadership change earlier this month. On April 7, former Kraken executives acquired 728,632 shares of Janover, leading to a shift in management. Joseph Onorati, Kraken’s former chief strategy officer, assumed the roles of chairman and CEO, signaling a new direction for the firm.

Shortly after the leadership change, DeFi Development Corp. unveiled its strategy: building a treasury of Solana. According to company statements, the goal is to apply a public-market treasury model to Solana, an asset they believe is still early in its market cycle compared to Bitcoin.

This strategy draws comparisons to Strategy’s aggressive Bitcoin accumulation under Michael Saylor. As of April 20, Saylor’s firm holds the largest amount of Bitcoin among public companies.

DeFi Development’s plan, though modeled similarly, carries different risks given Solana’s shorter history and lower institutional exposure.

The company’s board of directors approved the Solana treasury policy on April 4. This policy allows for long-term accumulation and validator deployment, meaning the firm can stake assets and potentially earn rewards through network participation.

Parker White, the firm’s chief investment officer and a former engineering director at Kraken, has already taken action. White launched a Solana validator node backed by $75 million in delegated stake. This move shows that the company’s new direction is not just theoretical but operational.

Still, the firm remains cautious. It acknowledged that the current lack of clear regulations around digital assets could create serious challenges. In its SEC filing, DeFi Development Corp. stated that changing rules could hurt its business, impact Solana’s price, and weigh on its stock value.

Another concern pertains to the potential classification of Solana as a security in the future. If regulators decide to do so, DeFi Development Corp. might be forced to register as an investment company under the Investment Company Act of 1940, an outcome that would bring new legal and financial hurdles.

Despite these concerns, DeFi Development Corp. has already made large purchases. On April 22, it added $11.5 million worth of Solana tokens to its treasury. Following the announcement, the company’s stock jumped more than 12%, reflecting market enthusiasm.

While DeFi Development’s bet on Solana could either be considered visionary or reckless, the outcome will depend on factors far beyond the company’s control — including token performance, regulatory clarity, and broader adoption rates in financial markets.

For now, the company’s transformation marks a sharp break from its origins in commercial real estate finance, showing how firms are willing to take bold risks to redefine their futures in an uncertain market.