Nasdaq-listed Verb Technology announced a $558 million private placement to acquire Toncoin (TON) as its primary treasury reserve.
By Bhushan Akolkar
Editor Hamza Tariq
Updated
3 mins read
On Monday, August 4, Nasdaq-listed Verb Technology (NASDAQ: VERB) announced the upsized and oversubscribed private placement (PIPE), with the goal of building a massive $588 million of TON TON $3.38 24h volatility: 6.9% Market cap: $8.17 B Vol. 24h: $414.85 M Treasury.
This makes it the first publicly listed firm to build a crypto treasury with The Open Network (TON)’s native crypto token.
As part of this strategic shift, Verb Technology will enter into a collaboration with Kingsway Capital. The PIPE deal involves the sale of approximately 58.7 million shares of common stock and pre-funded warrants at $9.51 per share, which was the closing market price on August 1.
Following the announcement, the VERB stock price shot up by 51% in the early trading hours on Monday, shooting to $14.38.
With the current offering of its common stock, the expected gross proceeds from the VERB stock will generate a total of $558 million. The transaction is slated to close on or around August 7, 2025, pending customary conditions.
A significant portion of the proceeds will be used to acquire TON as the company’s primary treasury reserve asset. Verb aims to become one of the largest global holders of Toncoin and plans to generate sustainable staking rewards to manage and expand its TON holdings in a cash flow-positive manner.
The company also stated that its existing business operations will continue alongside this new strategy and are expected to grow.
Earlier this year, Telegram and the TON Foundation confirmed that The Open Network (TON) would serve as the exclusive blockchain infrastructure for Telegram’s expanding ecosystem.
TON Wallet, a self-custodial crypto wallet integrated into Telegram, recently went live for 87 million users in the United States earlier this quarter.
TON is currently the exclusive blockchain for Telegram’s mini app ecosystem and the only way for creators and developers to withdraw rewards from user and ad payments.
It also powers the Telegram Ads platform in most countries and supports Telegram-native tokenized assets. This includes usernames, accounts, and digital collectibles like gift NFTs. Speaking on the development, Manuel Stotz, incoming Executive Chairman for Verb Technology, said:
“Telegram is the preferred messenger for the growing global crypto community and $TON is the currency that powers the Telegram ecosystem. In my judgment, permanent capital vehicles are particularly suitable for long-term holdings of $TON, which not only has the potential to compound in value, but also offers staking yield, meaning TSC can benefit from staking rewards.”
Unlike most social media platforms, Telegram enables users to utilize $TON directly within the messenger interface.
Telegram reports having over one billion monthly active users globally and claims to be the fastest-growing major messenger app worldwide.
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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.