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SharpLink Board Chairman: Considering financing through convertible notes to stabilize stock price.
On August 1, Joseph Lubin, Chairman of the Board of SharpLink and CEO and Founder of ConsenSys, stated in an interview that SharpLink has been selling its shares at ATM (At-The-Market) so far, which has led to the dilution of SBET investors' equity. This has sparked panic and concern, causing the stock price to fall from $37 to below $20 in less than two weeks. The issuance of Convertible Bonds by SharpLink means they will be able to raise funds without immediately diluting equity (. Convertible Bonds carry debt risks and may lead to future dilution upon conversion ), but in the short term, this may stabilize SBET (reducing the stock entering the market).