Citizens Bank has initiated coverage of SharpLink Gaming with an “outperform” rating and a $50 price target, signaling a potential for over 200% growth in the company’s stock. This optimistic outlook is anchored in SharpLink’s strategic approach to accumulating and actively managing Ethereum (ETH) reserves, positioning it as a novel player in the burgeoning Ethereum treasury space.
SharpLink’s Ethereum Strategy
The core of Citizens’ bullish stance lies in SharpLink’s ambition to be more than just a passive holder of digital assets. Unlike traditional companies that might simply store cryptocurrencies, SharpLink intends to actively leverage its substantial Ethereum holdings. The bank highlights SharpLink’s strategy of deploying these assets into staking and other yield-generating protocols. This proactive management aims to boost the company’s Net Asset Value (NAV) over time. Analysts describe this model as a “flywheel” mechanism, suggesting that as the Ethereum ecosystem expands and institutional adoption accelerates, SharpLink’s NAV per share could experience a compounding upward trajectory.
Projected Growth for Ethereum and SharpLink’s Role
Citizens Bank’s forecast is closely tied to its long-term projections for Ethereum itself. The institution anticipates ETH’s price could surpass $7,000 by 2026 and potentially reach over $20,000 by 2030. SharpLink, by establishing itself as one of the more ambitious publicly traded Ethereum treasury operators, is poised to benefit directly from this anticipated appreciation. The company’s commitment to actively managing its ETH reserves for on-chain yield, rather than merely holding them, distinguishes it in the market. This approach is designed to generate returns that can either lead to issuing shares at a premium to NAV or repurchasing them when the price is below NAV, creating a self-reinforcing growth loop.
Leadership and Institutional Confidence
A significant factor contributing to Citizens’ confidence is SharpLink’s leadership team. The company is co-led by Joseph Lubin, a co-founder of Ethereum and the Chairman of the Board, and Joseph Chalom, a former BlackRock executive and co-CEO of SharpLink. This unique combination of deep cryptocurrency expertise and seasoned experience in traditional capital markets is seen as instrumental in scaling the Ethereum treasury model. Citizens believes this blend of crypto-native agility and institutional discipline positions SharpLink effectively to navigate the evolving financial landscape. The recent news of SharpLink securing $76.5 million in a direct stock placement at a premium to market price is viewed by Citizens as a strong validation of its business model and Ethereum management strategy. SharpLink launched its Ethereum treasury strategy in June 2025 and, as of October 6th, held over 839,000 ETH.
Blockchain developer and writer, Daniel combines hands-on coding experience with accessible storytelling. He holds multiple blockchain certifications and authors technical explainers, protocol deep-dives, and developer tutorials to help readers navigate the intersection of code and finance.