Solana-based meme coin, BONK, aims to accumulate up to $115 million in treasury funds by the end of this year.
Safety Shot Inc., a publicly traded wellness company, has announced plans to become a BONK treasury firm, investing in the Solana-based memecoin and taking a stake in the BONK.fun platform. This strategic pivot positions Safety Shot within the Solana memecoin ecosystem and aligns the company with decentralized finance (DeFi) growth.
Key Details of the Plan
Safety Shot will initially purchase $25 million worth of BONK tokens, targeting 4–5% of the total BONK supply. The company aims to scale up to a $115 million BONK token acquisition by the end of the year. In addition, Safety Shot will acquire a 10% revenue share stake in BONK.fun, a decentralised memecoin creation platform on Solana that generates user fees. The company plans to recycle approximately 90% of its BONK.fun revenue back into increasing its BONK holdings.
The move will see BONK founding contributors, including pseudonymous core contributor Nom, deeply integrate into Safety Shot's board. The company has also prepared financially, paying off outstanding debts and maintaining a strong cash position, with plans for a $35 million preferred share offering convertible to common stock to support treasury growth. Safety Shot has also reserved the Nasdaq ticker "BNKK," reflecting a long-term vision to merge a publicly traded company with a leading digital asset ecosystem.
Impact on the Solana Meme Coin BONK
Safety Shot's large token purchases and revenue-share reinvestments are likely to create upward price pressure and enhanced market interest in BONK, potentially increasing liquidity and ecosystem activity. The involvement of a Nasdaq-listed firm could lend BONK greater institutional credibility and exposure, possibly attracting traditional investors who want indirect BONK exposure without holding the token themselves.
However, Safety Shot's stock price has dropped substantially (about 50-92%) after the announcement, reflecting investor skepticism about the risks of such a treasury shift and a cooling memecoin market. BONK remains the fifth-largest memecoin by market cap (~$1.9 billion) but has experienced a 57% price decline since its November 2024 peak, indicating a challenged but still significant presence in the memecoin space.
In summary, Safety Shot's plan represents a bold pivot toward becoming a BONK treasury firm deeply integrated with the Solana memecoin ecosystem, with significant financial commitments and governance changes aimed at leveraging BONK's blockchain advantages. This move may bolster BONK’s market position but currently faces investor apprehension amid meme token market volatility.
Other Notable Developments
- SharpLink Gaming, another company that has adopted the crypto treasury strategy, brought in Consensys CEO and Ethereum co-founder Joseph Lubin to its board of directors.
- Strategy, formerly MicroStrategy, has seen its stock skyrocket in value as Bitcoin broke new all-time highs.
[1]: [Source 1] [2]: [Source 2] [3]: [Source 3] [4]: [Source 4] [5]: [Source 5]
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