A cannabis company is turning into a crypto-AI player – and Wall Street is taking notice.
Flora Growth, which trades on Nasdaq under the ticker FLGC, has unveiled a $401 million financing deal that will transform its balance sheet and brand, making it the first publicly traded firm to hold Zero Gravity’s 0G token.
The company plans to adopt the new name ZeroStack after the deal closes later this month. Investors appear enthusiastic: Flora’s shares spiked nearly 70% in after-hours trading on the news, a sharp reversal from the stock’s 32% slide this year.
What makes the agreement unusual is its structure. Only $35 million is cash; the rest comes in digital assets = primarily 0G tokens valued at $3 each. If those valuations hold, Zero Gravity’s forthcoming blockchain would launch with a fully diluted value of around $3 billion, putting it in the same league as projects like Pudgy Penguins or Trump-backed World Liberty Financial.
Backing Flora’s leap is a roster of well-known investors. DeFi Development Corp., the Solana-focused treasury group, is leading the placement along with Hexstone Capital and Carlsberg SE Asia, joined by Dao5, Dispersion Capital, Abstract Ventures, Salt, and Blockchain Builders Fund. DeFi Development’s Parker White stressed the firm didn’t liquidate any of its $480 million in SOL holdings to fund the deal, instead layering 0G exposure on top of its existing Solana position.
For Zero Gravity Labs, the partnership adds another stamp of legitimacy ahead of its token airdrop and exchange debut. The project has already attracted $75 million in seed money and locked in a $250 million token purchase agreement from the 0G Foundation. Its aim: build a decentralized operating system that can train large AI models across distributed networks. In testnet, the team claims it successfully trained a 107-billion-parameter model over standard internet connections.
Incoming Flora CEO Daniel Reis-Faria framed the move as a way to give institutional investors equity-based access to the infrastructure supporting “transparent and cost-efficient AI development.” The company will also add Solana to its treasury as part of the strategy, signaling deeper ties to the crypto economy.
If all goes as planned, Flora – soon to be ZeroStack – will close its deal on September 26. By then, the 0G token will already be in circulation, and the market will get its first real look at whether investors are ready to bet on a blockchain built specifically for AI.
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Source: https://coindoo.com/nasdaq-listed-cannabis-firm-makes-bold-pivot-into-blockchain-and-ai/