Volcon, Inc. (NASDAQ: VLCN) witnessed a significant market rally following its announcement of a major equity deal tied to its digital asset strategy. As of the latest session, shares of VLCN surged by an impressive 249.42%, trading at $32.23.
The stock movement was spurred by VLCN’s entrance into securities purchase agreements with select institutional and accredited investors through a private placement, involving the sale of 50,142,851 common shares—or equivalent pre-funded warrants—at $10.00 each. The transaction is expected to yield over $500 million in gross proceeds, prior to deductions for associated fees and expenses.
Leading Investors and Strategic Partnerships
The financing round was led by Empery Asset Management, LP, and included strong participation from notable digital asset and blockchain venture firms such as Pantera, FalconX, Borderless, Relayer Capital, and RK Capital.
Traditional financial investors also played a significant role. Clear Street LLC was appointed lead placement agent, while Aegis Capital Corp. served as co-placement agent and exclusive financial advisor for the deal.
Bitcoin as Primary Reserve Asset
Volcon has made clear its intention to allocate at least 95% of the gross proceeds toward acquiring Bitcoin, positioning the cryptocurrency as the company’s principal treasury reserve asset.
To facilitate this transition, the firm signed a Strategic Digital Assets Services Agreement with Gemini Nustar LLC, an affiliate of Gemini Trust Company, LLC. The move aligns with broader trends toward decentralization and aims to counter the effects of currency devaluation, according to company representatives.
New Board Appointments and Strategic Execution
To guide the new treasury initiative, Volcon appointed Ryan Lane, Ian Read, Rohan Chauhan, and Matthew Homer to its board of directors, with their terms lasting until the next shareholder meeting.
Additionally, three members from the Empery team will join Lane in operationalizing the Bitcoin strategy. The collaboration between Volcon (VLCN) and Gemini is aimed at creating a low-cost, capital-efficient, and best-in-class Bitcoin treasury framework that reflects the company’s strong belief in Bitcoin as the future’s digital store of value.
