Stablecoin Development Corporation (SDEV), a public company holding Sky Protocol’s SKY token, generated $2.2 million in second-quarter staking revenue, roughly matching its non-GAAP cash operating expenses. However, the company recorded a $50.6 million unrealized loss on digital assets, 23 times the staking revenue, resulting in a $53.8 million operating loss and a $41.1 million net loss. SKY represents approximately 94% of SDEV’s $127.5 million in total assets, with a position of 2.29 billion tokens showing an unrealized loss of $28 million versus acquisition cost. Exercisable warrants could issue up to 33.5 million shares, representing 66% of the shares outstanding as of June 15, posing a significant dilution threat to existing shareholders.
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