Nasdaq-listed Cosmos Health, based in the United States, is planning to delve into the Ether (ETH) treasury sector. Aiming to issue up to $300 million in convertible notes, the firm has recently entered a securities purchase agreement with a non-disclosed U.S.-based institutional investor.
@CosmosHealthInc secures up to $300 Million financing facility to support the launch of its Ethereum (ETH) digital asset treasury reserve strategy.$COSM #CosmosHealth #ETH #Ethereum #Crypto #BTC #cryptocurrencieshttps://t.co/HtuvXAqV3V
— Cosmos Health Inc. (Nasdaq: COSM) (@CosmosHealthInc) August 6, 2025
Cosmos Health Raises Capital for Ether Treasury
According to an official press release, the funding will support the company’s new digital asset treasury with a focus on ETH. The firm claims that at least 72.5% of net proceeds from each tranche will be allocated to Ether accumulation and on-chain staking via BitGo. The remaining funds will fuel working capital, product development, and expansion into U.S. manufacturing.
Interestingly, the Ether treasury initiative aligns with the company’s interest in expanding beyond its traditional business into the digital sector. Cosmos Health plans to explore blockchain use cases in supply chain traceability, wellness incentives, and consumer engagement.
While hinting at the firm’s commitment to the crypto treasury initiative, Cosmos Health’s Chief Executive Officer (CEO), Greg Siokas, said:
“Our entry into the digital asset space is not a short-term pivot, but part of a broader commitment to innovation. We are confident that the size and flexibility of this facility should position us to deliver long-term, sustainable value for our shareholders.”
Notably, the move positions Cosmos Health alongside public firms treating Ether as corporate capital rather than a speculative asset. The ETH treasury trend goes parabolic following recent favorable crypto-related legislation in the U.S.
Altcoin Treasury — Any Looming Danger?
Altcoins such as ETH, SOL, LTC, and BNB tend to be more volatile than Bitcoin; nonetheless, firms keep adding them to their treasury. Public companies, especially smaller ones, see their share valuations rise or fall dramatically based on crypto swings. While some analysts warn of volatility risks, others view the strategy as forward-looking.
For example, Analysts at Bernstein caution that staking yield strategies expose treasuries to staking protocol vulnerabilities and governance centralization. Liquidity constraints and smart contract failures may fuel forced crypto holdings sales. Tolling that line, Galaxy Digital warns that many crypto treasury firms mirror 1920s-style trust bubbles.
Given these perspectives from analysts, retail crypto investors are also concerned about what the future holds for these corporate treasuries. An X user said: “When the bear is finally here, it will be interesting to see what becomes of these $SOL and altcoin treasury companies springing up left, right, and center.”
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