TLDR
- Fitell Corporation secures $100M financing facility for Australia’s first Solana-based digital asset treasury
- Stock price surged over 500% to $15.79 before pulling back to $7 with multiple trading halts
- Company appointed DeFi veterans David Swaney and Cailen Sullivan as treasury advisors
- Plans rebrand to “Solana Australia Corporation” and dual listing on Australian Securities Exchange
- Strategy focuses on DeFi yield generation beyond traditional staking methods
Fitell Corporation announced plans to launch Australia’s first Solana-based digital asset treasury backed by a $100 million financing facility. The NASDAQ-listed fitness equipment company revealed the strategy on Tuesday, marking a dramatic pivot from its traditional hardware business.
The announcement triggered extreme market volatility in FTEL shares. Stock prices spiked to an intraday high of $15.79 before retreating to approximately $7.
Multiple trading halts occurred throughout the session due to excessive price movements. Retail sentiment on Stocktwits jumped from “bullish” to “extremely bullish” territory.
DeFi Strategy and Expert Advisors
Fitell has enlisted two experienced DeFi professionals to lead its treasury roadmap. David Swaney and Cailen Sullivan will design risk management frameworks and advanced yield generation strategies.
The company plans to deploy Solana assets across diversified on-chain DeFi and derivatives strategies. These include structured products like options, snowballs, and on-chain liquidity provisioning.
David Swaney brings extensive experience from the digital asset space since 2017. His expertise spans treasury design, structured yield strategies, and market infrastructure development.
Cailen Sullivan has worked in cryptocurrency for over a decade, joining Coinbase as an early employee in 2013. He recently co-founded Adrena, a leading perpetuals DEX on Solana by trading volume.
The strategy aims to generate returns that exceed traditional staking models. All generated returns will be reinvested into the treasury reserve to compound SOL accumulation.
BitGo Trust Company will provide custody services for initial SOL assets in the United States. The assets will be staked through institutional-grade infrastructure for security.
Corporate Transformation Plans
Following the treasury launch, Fitell plans to rebrand as “Solana Australia Corporation.” The company has initiated procedures for a dual listing on the Australian Securities Exchange.
The dual listing strategy would provide regional investors with broader access to SOL exposure. This represents a complete pivot from the company’s core fitness equipment business.
Fitell recently completed a 1-for-16 share consolidation of ordinary stock. The consolidation increased par value from $0.0001 to $0.0016 per share.
This move aligns with a broader trend among public companies pivoting to cryptocurrency strategies. Similar announcements have come from Upexi, SOL Strategies, and Forward Industries this year.
Upexi currently maintains the largest corporate Solana holdings with over two million SOL tokens. Fitell’s announcement provided limited operational details connecting the strategy to its existing business.
The company scheduled a live investor session at 4:00 PM ET Tuesday to provide additional information. Investors await clarity on whether this represents a legitimate balance sheet strategy or primarily a publicity move.
