Solana Company, the Nasdaq-listed SOL treasury trading under ticker HSDT, recognized $2.512 million in staking revenue during the second quarter of 2026 but automatically restaked the rewards rather than converting them to cash. Meanwhile, the company burned an estimated $11.892 million in operating expenses, forcing it to sell digital assets and raise $7.9 million through an equity offering to fund operations.
The staking revenue represented approximately 31,200 SOL tokens earned from the company’s treasury holdings. However, the automatic restaking meant the rewards did not contribute to cash liquidity. The operating cash burn exceeded staking proceeds by roughly $4 million in Q2 after excluding one-time separation costs, according to analysis of the company’s filing.
Operating Expenses and Separation Costs
General and administrative expenses reached $11.116 million in Q2. The quarter included $6.8 million in separation and severance costs, comprising $1.4 million in severance for terminated Proof of Stake (PoNS) program employees and $5.4 million in separation costs for the former CEO and CFO. The company did not name the executives who received separation packages.
Excluding separation costs, the company’s rough non-adjusted general and administrative spending stood at approximately $4.316 million, which exceeded the staking revenue by $1.804 million.
Realized Losses and Asset Sales
Solana Company reported a $25.389 million realized digital-asset loss in Q2, treated as a non-cash reconciling item in the cash-flow statement. The loss arose from SOL sales and the derecognition of SOL posted as derivatives margin collateral. The company did not specify the exact split between the two sources.
For the first half of 2026, digital-asset sales generated $13.321 million in proceeds. Q2-specific sale proceeds are estimated at $7.853 million based on subtraction from the half-year total. The company also divested the PoNS business, recording a $4.242 million net gain on the transaction and a $3.065 million accounting gain.
Liquidity and Equity Raise
At June 30, 2026, Solana Company held $3.647 million in cash and approximately $21 million in readily liquidatable digital assets. Staked SOL requires a two-to-three-day unbonding period before liquidation. The company reported working capital of $26.587 million.
To address operating cash needs, the company raised $7.9 million through an equity offering. It also repurchased $2.331 million in shares. The company did not disclose the specific date of the equity offering or whether the proceeds were used directly for repurchases.
Solana Company’s treasury sat approximately $8.2 billion below cost basis. Investor put rights created a $4.207 million derivative liability on the balance sheet at quarter-end.
Net Loss and Operating Burn
The company reported a net loss of $30.256 million for Q2. Operating cash use for the first half of 2026 totaled $16.723 million, implying Q2 operating cash burn of approximately $11.892 million when subtracted from the half-year figure.
