Former 5th-largest SOL treasury company makes aggressive pivot by liquidating SOL holdings, just one month after reaffirming 'SOL treasury strategy'

BlockBeats news, October 19 — SkyAI, formerly known as Sharps Technology, has recently undergone an aggressive strategic pivot. The company has fully liquidated its Solana (SOL) reserves to fund its stock and warrant buyback program, transitioning from what was once the fifth-largest Solana treasury company to zero holdings.

According to a statement released by SkyAI on Monday, as of October 16, the company held approximately $223.8 million in cash and had "completed the sale of all SOL." Under the buyback program, SkyAI has offered to repurchase 95% of outstanding shares at $3 per share or per warrant. If the buyback is fully subscribed, the company would have approximately $22.5 million remaining before deducting related fees. Additionally, since it no longer holds SOL, the company has also eliminated the buyback condition that originally required SOL's price to remain above $100.

This liquidation appears swift and sudden. As recently as September 14, SkyAI had reaffirmed its Solana treasury strategy and claimed to hold over 2 million SOL. However, a buyback announcement on October 11 disclosed that it had sold approximately 1 million SOL, and subsequent SEC filings showed its remaining balance at only about 600,000. The rapid sell-off has drawn strong objections from Bastion Trading, a major shareholder holding nearly 10% of SkyAI's shares. Bastion has called for an independent review and explicitly stated it will not participate in the buyback under the currently proposed terms. Bastion is demanding that the buyback price be raised to $3.5 per share, that restrictions be imposed on insiders, and that strategic advisors' warrants be excluded from the buyback.

Despite liquidating its crypto assets, SkyAI still describes its business as "building a financial platform that combines stablecoin rails on Solana with AI," but Monday's announcement did not clarify whether the company intends to rebuild its SOL treasury or provide any updates on the platform's progress. The company only stated that it plans to maintain its Nasdaq listing status after the buyback is completed. As of the latest trading session, SkyAI (SKYA) shares rose 4.5% on the day to $2.77, with a year-to-date gain of 35%.