DeFi Development Withdraws Filing After SEC Flags Compliance Gap in Solana Strategy

Highlights:

• DeFi Development has withdrawn its filing after missing a key report in its most recent financial statement.
• The company plans to refile once it fixes the reporting issue and remains focused on its Solana strategy.
• DeFi Development continues to build Solana holdings despite the delay in its public capital raise plan.

DeFi Development Corp has withdrawn its $1 billion registration filing in the United States after the SEC found the company ineligible to use Form S-3. The firm had submitted the filing on April 25, aiming to raise funds for general purposes, including building its Solana strategy. However, the SEC found that the company’s most recent Form 10-K did not include a management report on internal controls over financial reporting.

News: @defidevcorp has withdrawn its $1B shelf offering following SEC comments about a missing internal controls report in its Form 10-K. Part of the offering was intended to support its Solana treasury strategy. The company plans to refile in the future. pic.twitter.com/GSBTNFFicj

— SolanaFloor (@SolanaFloor) June 11, 2025

Due to this lack of report, the firm was not in a position to satisfy Form S-3 eligibility conditions. As a follow-up, DeFi Development filed a notice of withdrawal under Rule 477 to withdraw the filing. The company clarified that the registration had not become effective and that no securities were issued or sold. It also stated that the withdrawal supports investor protection and serves the public interest.

Although the filing is no longer active, the firm confirmed it plans to refile once it resolves the compliance issue. Although it conceded that the fees it paid to file the filing will not be returned, it asked that the fees be used in a future registration under Rule 457(p). This indicates that the firm wants to revert to its capital-raising activity once eligible.

Solana Strategy Faces Delay as Resale Filing Planned

The withdrawn filing outlined plans to use a portion of the proceeds to acquire more Solana tokens. The firm wanted to follow a strategy similar to companies that use Bitcoin as a treasury reserve. DeFi Development planned to hold Solana and earn yield through staking while also warning that price volatility could impact returns if converted back into cash.

Even though the current filing is no longer moving forward, the company remains committed to its Solana strategy. It has made clear that it will file a resale registration in the future once the reporting issue is resolved. No timeline has been given, but the plan is still in place.

The firm also noted that it fully understands the reason for the ineligibility. It intends to address the missing report before taking further steps. This pause has delayed the public offering, but the company is not stepping away from its overall direction.

Crypto Expansion Continues Despite Filing Setback

DeFi Development recently raised $42 million through a private offering of convertible notes and warrants. The notes carry a 2.5% annual interest and mature in 2030. The conversion depends on the company reaching a market capitalization of $100 million. This capital was raised to support the firm’s Solana-focused treasury plan.

Since then, the company has steadily increased its Solana holdings. It purchased some tokens first in April, and by mid-May had bought more than 600,000 tokens. At current market value, these holdings exceed $97 million. In May, DeFi Development also turned some of its Solana tokens into dfdvSOL, a liquid staking token provided by Sanctum.