DeFi Development Prices CHAD Preferred Stock Offering at $19.8 Million

The offering involves 2.2 million shares of the security, traded under the ticker CHAD. R.F. Lafferty & Co. serves as the sole book-running manager and holds a 30-day option to acquire an additional 330,000 shares, which would push total gross proceeds to roughly $22.77 million. While each share carries a $10 stated amount and liquidation preference, the $9 purchase price provides investors with an initial effective annual yield of approximately 14.44% based on a 13% dividend rate.

Management maintains broad discretion over the dividend, which is variable and subject to monthly board review. To signal stability, the company plans to place $1.30 per share—covering one year of dividends at the initial rate—into a designated reserve account funded by existing cash or digital assets. However, the prospectus notes this reserve is not an independent guarantee and remains accessible to creditors in the event of insolvency.

DeFi Development has applied to list CHAD on the Nasdaq Capital Market. The firm’s broader strategy remains tied to the Solana ecosystem, having recently expanded its treasury to approximately 2.33 million SOL-equivalent assets. The company warned investors that while proceeds may fund future SOL acquisitions, no fixed allocation has been determined, and capital deployment remains subject to market volatility and management discretion.