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Mill City Ventures III, which is listed on Nasdaq, aims to secure up to $500 million through a new equity arrangement to enhance its Sui token treasury.
Key Takeaways:
- Mill City intends to raise $500 million to grow its SUI token treasury following an initial investment of $450 million.
- The stock fell by more than 11% after the announcement, even though it has risen 165% since July 24.
- Mill City is establishing itself as the first institutional-grade Sui treasury with formal support.
This announcement followed closely after Mill City raised $450 million through the sale of 83 million shares to institutional investors, including Pantera Capital, Electric Capital, ParaFi Capital, and FalconX.
The company utilized these funds to acquire 76.2 million SUI tokens valued at $276 million. The remaining funds will be allocated to its ongoing short-term lending activities.
Mill City Stock Declines Following $500M Equity Line Announcement
On Friday, shares of the financial firm fell 11.4% to $4.91 after the announcement, with after-hours trading resulting in an additional loss of 4.28%, as reported by Google Finance.
“This equity line is designed to provide us with the resources to enhance our position as the sole Sui treasury in the market with an official relationship with the Sui Foundation,” stated Stephen Mackintosh, Mill City’s Chief Investment Officer.
He characterized this initiative as a move towards providing institutional-grade access to the Sui ecosystem via public markets.
Mill City’s approach aligns with a rising trend among public companies to broaden their crypto treasuries beyond Bitcoin and Ethereum.
In recent weeks, companies have incorporated BNB, Solana, and XRP into their holdings.
Welcome to Sui, Mill City Ventures.
With Mill City’s launch today, everyone can access Sui on Nasdaq. Together, we are demonstrating what’s achievable when blockchain is designed for mass adoption.
Public market access enables greater retail and institutional involvement—and a stronger… pic.twitter.com/2m3UBTeZTM— Sui (@SuiNetwork) August 1, 2025
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Nonetheless, Mill City is positioning itself as a dedicated SUI treasury, seeking to leverage the layer-1 blockchain’s emphasis on low-latency, scalable infrastructure for AI and gaming applications.
The firm’s new $500 million equity line was arranged with Alliance Global Partners and aims to further enhance its position in SUI.
While the initial investor response was negative, the overall trend of MCVT stock remains positive, still up 165% since July 24, when the SUI initiative was first announced.
Galaxy Asset Management is managing Mill City’s SUI assets as the official treasury manager.
As of the time of writing, SUI is trading at $3.45, down 2.4% for the day, reflecting the broader market decline.
Crypto Treasuries Aren’t Necessarily Acquiring Crypto
An increasing number of publicly traded companies are raising substantial amounts to establish crypto treasuries, but one analyst suggests that many are not genuinely purchasing digital assets from the open market.
According to reports, crypto analyst Ran Neuner indicated that crypto treasury firms are behaving less like purchasers and more like exit strategies for crypto insiders.
Rather than acquiring assets directly from exchanges, these companies frequently receive crypto contributions from current holders in exchange for shares that subsequently trade at significant premiums on public markets.
Concerns regarding the sustainability of the crypto treasury trend are also on the rise.
Last month, Glassnode lead analyst James Check expressed worries about the durability of the corporate Bitcoin treasury strategy, suggesting that the easy profits may already be out of reach for new entrants as the market evolves.
This caution resonates with recent remarks from Matthew Sigel, head of digital asset research at VanEck, who has raised alarms about the Bitcoin treasury strategies implemented by certain publicly traded companies.
The post Nasdaq-Listed Mill City Eyes $500M Raise for Sui Strategy, Shares Sink appeared first on Cryptonews.
