Verb Technology Company Inc. has executed a significant corporate pivot, rebranding as TON Strategy Co. after securing $558 million in a private investment in public equity (PIPE) deal. The capital raised is allocated to acquire and hold Toncoin (TON), the native token of The Open Network ecosystem often associated with Telegram, as the company’s primary treasury reserve asset.
This strategic move triggered a dramatic market response, with the company’s stock price surging over 200% intraday following the announcement. Shares reached a peak of $19.33 during trading.
The rebranding positions TON Strategy Co. as the first publicly traded entity to hold Toncoin (TON) as its key treasury reserve asset, marking a notable commitment to the TON ecosystem.
The $558 million funding round featured prominent institutional backing. Kingsway Capital led the investment, and its founder and CEO, Manuel Stotz, will serve as executive chairman of the newly formed TON Strategy Co., signaling strong institutional confidence in TON’s future development.
Other key participants in the funding include Blockchain.com and Vy Capital. Strategic partnerships, notably with Animoca Brands, are planned to enhance TON’s utilization and integration within gaming applications and Mini Apps.
This development reflects a broader trend among public companies diversifying their treasury strategies with cryptocurrencies, joining others investing in assets like Ethereum’s Ether (ETH) and Tron’s TRX.