Mill city Ventures Doubles Down on SUI Crypto Investment
On August 11, Mill City Ventures made headlines with the disclosure of purchasing an additional 5.6 million SUI tokens, increasing its total stake to a massive $316 million.
The Nasdaq-listed firm executed the buy at $3.65 per token, below market value, using its unique ties with the Sui Foundation. Almost all its tokens are staked for yields.despite allocating ample capital, Mill City retains $126 million in reserves for future ventures.
This purchase is just one component of a larger strategy to invest heavily in layer 1 assets. Since transitioning from traditional lending, the firm secured a $450 million private placement and plans a $500 million allocation – aimed at bolstering its crypto portfolio.
With staked tokens, Mill City venture reportedly generates around $26,000 in daily staking rewards.
- Near 81.87 million SUI tokens currently staked.
- Expected annual returns could reach around $9.5 million at today’s rates.
While the potential benefits of Sui’s growth seem immense for Mill City, ther are considerable risks. SUI price fluctuations directly impact Mill City’s financial standing. Should the crypto market falter, shareholder value might be diluted.
Current figures are encouraging, however. Mill City shares enjoy a 15% premium over net asset value indicating investor optimism.
Surely,Mill City is keenly aware of the importance of tactical decision-making regarding its $316 million bet on SUI.
