SkyAI Liquidates Entire Solana Treasury, Offers $201M Buyback

By Elena Vasquez

SkyAI, formerly Sharps Technology, has sold its entire Solana (SOL) treasury and launched a tender offer to repurchase up to $201.3 million in shares and warrants, according to a filing with the US Securities and Exchange Commission on Monday. The company held approximately $223.8 million in cash as of Oct. 16 after liquidating its holdings.

The reversal ends a cryptocurrency accumulation strategy that lasted barely fourteen months. It also marks one of the fastest unwindings among publicly traded Solana treasury companies.

What does the tender offer cover?

Shareholders and warrant holders can sell their securities directly back to SkyAI at a fixed price. The offer covers up to 95% of each class of outstanding shares and warrants, funded entirely from cash on hand.

Notably, the company dropped a planned condition tying the buyback to SOL's price. That condition appeared in the original Oct. 11 announcement. Removing it insulates the offer from token volatility, though it also removes any floor the crypto market might have provided.

SkyAI said it intends to continue developing a financial platform combining stablecoin infrastructure on Solana with artificial intelligence. The filing does not detail how much capital that effort requires, or when it expects revenue.

Shares closed Monday at $2.79, up 5.3% on the day, per Yahoo Finance. The stock has gained roughly 65% over the past month yet remains down about 41% over the past year. In plain words: the market rewarded the exit, not the strategy that preceded it.

How large were the losses?

SkyAI launched its Solana treasury strategy in August 2025 after raising more than $400 million through a private placement. The following month it acquired more than 2 million SOL, building a position then valued above $400 million.

By the end of 2025, the company held approximately 2.08 million SOL at a cost basis of $403.1 million, roughly $194 per token. Its annual disclosures valued the holdings at $250.1 million, an unrealized loss of approximately $153 million — about 38% of the capital raised.

For scale, that single-company loss is modest against the sector's aggregate damage. By February 2026, publicly traded Solana treasury companies carried more than $1.5 billion in combined unrealized losses as falling token prices weighed on holdings and share valuations.

SOL traded near $62 in June before recovering to approximately $104 as of Monday, according to CoinGecko. Even at that level, the token sits well below the roughly $194 SkyAI paid per coin on average.

What comes next?

The buyback consumes most of the company's cash: $201.3 million of $223.8 million on hand, leaving roughly $22.5 million for operations. A pivot to stablecoin infrastructure and artificial intelligence with that residual balance is a narrow foundation, and the filing offers no timeline for the platform's launch.

The tender also represents a near-total distribution of value back to security holders — up to 95% of each class — which raises the question of what remains of the public company afterward. SkyAI has not said whether further capital raises or a structural change would follow.

The episode will likely sharpen scrutiny of treasury-company models that pledge crypto exposure and then unwind it within a single fiscal year. Whether the stablecoin-and-AI platform materializes before the remaining cash runs down is the metric to watch over the coming quarters.