Verb Technology Company shares gained over 200% on Monday following news of a $558 million private investment in public equity (PIPE) deal and a full-scale transition into cryptocurrency. The firm is rebranding as TON Strategy Co., the first such action in public markets: adopting Toncoin (TON) as a primary treasury asset.
Stocks jumped from sub-$10 levels to an intraday high of $29.33 before settling near $27. The offering is comprised of 58.7 million shares and pre-paid warrants for $9.51. The move reflects growing institutional demand for blockchain-native treasury reserves.
The transition sets the firm up as the first listed treasury reserve vehicle of Toncoin, Telegram’s native token in its blockchain universe. Raised proceeds will be used in the purchasing and staking of TON, situating the firm in the growing universe of Telegram-integrated apps and decentralized platforms.
The $558 million funding round was led by Kingsway Capital, the CEO of whose Manuel Stotz is also president of the TON Foundation. Stotz will be executive chairman of renamed TON Strategy Co., underscoring the company’s alignment with TON’s development roadmap.
“Permanent capital vehicles are particularly well-positioned for long-term holding of $TON, which not only can compound in value but also pays staking yield,” said Stotz.
Other key backers include Blockchain.com, whose CEO, Peter Smith, becomes special adviser, and existing Telegram backer Vy Capital. Partners like Animoca Brands and The Open Platform (TOP) also line up strategically through TON-based gaming and tokenized services.
Verb’s move is a reflection of a broader trend of public companies shifting away from Bitcoin and towards other tokens. In July alone, over $7.8 billion in capital was committed by at least 16 companies for crypto acquisition and utilization.
Some recent examples are:
As businesses search for higher returns and alignment with ecosystems, treasury strategies that point to altcoins are becoming increasingly popular — and TON Strategy Co. is just the beginning of many to follow.
