Caliber’s Shares Surge Amid Announcement of Chainlink Treasury
Shares of Nasdaq-listed real estate asset manager Caliber experienced a significant increase following the firm’s announcement regarding its shift to a Chainlink treasury, despite facing an ongoing investigation by an exchange.
In a statement released on Thursday, Caliber’s board of directors disclosed their approval of a digital asset treasury strategy centered around Chainlink (LINK). As part of this new approach, the company plans to allocate a portion of its funds for the acquisition of LINK tokens.
Additionally, Caliber’s board has established a crypto advisory board, which will assist management in shaping its digital asset strategy, policy, and associated initiatives. This development seems to have been positively received by investors, as indicated by Google Finance data that shows the company’s stock climbed by 77% during pre-market trading and managed to hold onto this increase into the early trading day.
This rise in stock value occurred even after Caliber reported receiving written notification from Nasdaq on Wednesday, informing them that they “are no longer in compliance with Nasdaq Listing Rule 5550(b)(1).” The establishment of a Chainlink treasury could be a strategy to address this compliance issue before facing delisting from the exchange.
The relevant rule mandates that companies maintain a stakeholder equity of at least $2.5 million to ensure their continued presence on the exchange. Caliber has a timeframe of 45 days to submit a plan, and if accepted, up to 180 days to resolve this deficiency.
A filing with the Securities and Exchange Commission from the second quarter of this year revealed that Caliber had a stockholders’ equity deficit amounting to $17.6 million. Failure to rectify this situation could result in the loss of its publicly traded company status. However, if Caliber successfully raises capital for its new Chainlink treasury, it may once again comply with the listing requirements.
Corporate Crypto Treasuries on the Rise
The trend of creating corporate crypto treasuries initially concentrated on Bitcoin (BTC), following the establishment of the first Bitcoin treasury by MicroStrategy, which is now known as Strategy. However, there is a growing number of companies now looking to diversify their treasury initiatives into altcoins.
Earlier this week, the Trump Media and Technology Group, owner of US President Donald Trump’s Truth Social platform, announced its plan to create the Trump Media Group CRO Strategy, aiming to build a treasury valued at a minimum of $6.42 billion in Cronos (CRO). Likewise, shares of Sharps Technology nearly doubled on Monday after the medical technology firm revealed its plan for a $400 million treasury in Solana (SOL).
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Nevertheless, success is not guaranteed for these companies. Earlier this month, Windtree Therapeutics, a biotech firm that implemented a BNB treasury strategy last month, saw its stock plummet by 77% on Wednesday after Nasdaq announced they would be delisted.
