NovaBay ditches pharma for blockchain, rebrands as Stablecoin Development Corporation
NovaBay Pharmaceuticals has undergone a dramatic shift in direction, abandoning its drug development business to enter blockchain finance. The company, now rebranded as Stablecoin Development Corporation (SDEV), saw its shares surge by 20.7% to $1.4001 after unveiling a sweeping corporate overhaul and a $134 million funding round.
The transformation began with a complete pivot away from pharmaceuticals. NovaBay officially adopted its new identity as SDEV, positioning itself as a publicly traded firm focused on stablecoin protocols and treasury management. As part of the restructuring, the company executed a 1-for-5 reverse stock split in February 2026.
The newly formed SDEV secured $134 million through a private placement, drawing support from major institutional crypto investors. Participants included R01 Fund LP, Framework Ventures, Tether Investments, and Sky Frontier Foundation. The funds will underpin its stablecoin infrastructure, which the company describes as central to its revenue and treasury strategy. SDEV has also built a significant stake in the SKY token ecosystem. It currently holds 2.06 billion SKY tokens, accounting for 8.78% of the circulating supply. Additionally, the protocol has generated 26.6 million tokens through staking, earmarked for governance activities and yield generation.
The rebranding and funding round mark a clear break from NovaBay's past. With a new focus on blockchain-based finance, SDEV aims to establish itself as a key player in stablecoin protocol development. The company's share price jump reflects investor confidence in this strategic shift.
