- Flora Growth, a Nasdaq-listed cannabis firm, is initiating a $401 million treasury project to support the blockchain network Zero Gravity (0G).
- The deal includes $35 million in cash and $366 million in digital assets, mainly in 0G tokens.
- Flora Growth will rebrand as ZeroStack but keep its Nasdaq ticker, FLGC.
- DeFi Development Corp. led the deal, joined by Hexstone Capital, Carlsberg SE Asia PTE Ltd, and other venture firms.
- The treasury strategy aims to boost 0G’s AI network, which can train a 107-billion-parameter model, with closing expected by late September.
Nasdaq-listed company Flora Growth has announced a $401 million treasury initiative to support Zero Gravity (0G), a blockchain project focused on decentralized Artificial Intelligence (AI) infrastructure. The move, disclosed on Friday, brings together $35 million in cash and $366 million in digital assets, mostly in 0G tokens, under a private placement deal.
As part of the agreement, Flora Growth plans to rebrand itself as ZeroStack, while continuing to trade under its existing Nasdaq symbol, FLGC. According to the announcement, several investment groups participated in the funding round, with DeFi Development Corp. (DFDV) leading the effort. Other investors include Hexstone Capital and Carlsberg SE Asia PTE Ltd, as well as Dao5, Abstract Ventures, and Dispersion Capital.
“We’re thrilled to partner with FLGC on this fundraise and look forward to driving a deep collaboration between 0g and Solana,” said Joseph Onorati, CEO of DFDV. The announcement also noted that Flora Growth will hold some of its treasury in Solana (SOL) tokens.
The treasury project intends to help scale 0G’s AI capabilities. The network has shown it can train a large AI model with 107 billion parameters—a technical measure of AI complexity—using decentralized computing clusters. The company claims a 357-times efficiency boost over current distributed AI systems. Incoming CEO Daniel Reis-Faria said the treasury structure gives institutional investors exposure to a “transparent, verifiable, and privacy-first AI infrastructure.”
The deal is set to close by September 26, pending shareholder approval. Some backers will receive pre-funded warrants related to the use of 0G tokens. Investors can review additional details in the official announcement.
Separately, large digital asset treasury firms face challenges as market net asset values (mNAVs) decline. Standard Chartered reported that several companies are under pressure, with many seeing their valuations drop. According to the bank, smaller players may become acquisition targets, while larger firms like Strategy and Bitmine could emerge as industry leaders.
Flora Growth’s shares increased by 5% following news of the treasury plan, according to Google Finance.
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