DeFi Development (DSDV) Investor update summary

January business highlights

• Ended January with 2.2 million SOL on the balance sheet, SPS of 0.0743, and DFDVX trading volume over $30 million.

• Expanded on-chain yield and treasury infrastructure through new integrations with HILO, Mooncake, Solstice, Yield Vault, and Jupiter Lend.

• Strengthened governance by adding Hadley Stern to the board and announced a new revolving credit facility with DFDV UK.

• Hosted a Reddit AMA covering topics like preferred stock plans, SPS growth, validator strategy, and yield outlook.

Market conditions and strategy

• Noted extreme market volatility, with Bitcoin experiencing one of its largest single-day drops since the FTX collapse.

• Emphasized resilience and long-term focus despite market downturns, with no intention to pause operations.

• Highlighted the importance of building during bear markets, citing historical examples of successful projects launched in downturns.

Capital allocation and buybacks

• Buybacks were conducted in January to grow SOL per share, especially when trading at a discount to NAV.

• Preferred issuance remains a focus, but challenging market conditions have made it difficult to secure favorable terms.

• ATM offerings are paused due to trading at a discount to NAV, but institutional investors have differing views based on alternative metrics.