Key Takeaways:
- Fitell’s stock dropped 21% after announcing a $10M Solana purchase and new crypto treasury strategy.
- Other firms like Helius Medical and CEA Industries also saw stock declines following similar Solana investments.
- Despite market reactions, institutional interest in Solana treasuries is growing, with 17 entities now holding 17.04M SOL.
Fitell, an Australian fitness equipment company listed on Nasdaq, saw its shares plunge 21% to $6.65 on Wednesday after announcing a $10 million purchase of Solana (SOL) as part of a new crypto treasury strategy.
The company acquired over 46,000 SOL tokens and plans to allocate 70% of proceeds from a recently issued $100 million convertible note to expand its Solana holdings, grow staking revenue, and fund on-chain initiatives.
🚨JUST IN: Publicly listed Fitell Corporation (FTEL) has completed a $10m Solana purchase just one day after raising a $100M credit line to launch Australia’s first @Solana Digital Asset Treasury. pic.twitter.com/CdMaBP4zMr
— SolanaFloor (@SolanaFloor) September 24, 2025
The announcement comes amid a broader trend of firms adding SOL to treasuries, though investor response has been negative.
Earlier this week, Helius Medical Technologies dropped nearly 34% after unveiling a $175 million Solana purchase, while CEA Industries, BitMine Immersion Technologies, and Strategy Inc. also faced double-digit declines tied to similar crypto moves.
Fitell’s CEO, Sam Lu, said the firm has institutional support and aims to drive long-term shareholder value.
To guide its strategy, Fitell appointed David Swaney and Cailen Sullivan as advisers to evaluate DeFi opportunities and risk management.
Despite these efforts, Fitell’s stock is down nearly 96% year-to-date, reflecting deep investor skepticism over its pivot to digital assets.
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