
Founders Fund completes exit from ETHZilla stake
The exit, in brief. Founders Fund filed an amendment with the SEC showing it no longer holds any shares in ETHZilla, after previously reporting a stake that equated to about 11.59 million shares and roughly 7.5% ownership of the company’s outstanding stock. The disclosure replaces the earlier position disclosed in August and removes a visible institutional backer from the cap table.
Market reverberations. The sale arrives alongside other large, divergent moves by public holders of Ether: some traders aggressively accumulated additional ETH while others liquidated hundreds of thousands of tokens, crystallizing heavy losses. That split — fresh buying by one group and forced realizations by another — highlights deepening volatility pressures on entities that run Ether-dominant treasuries.
Corporate reaction and strategy shifts. ETHZilla has already converted part of its crypto position into cash to meet debt obligations and has pursued business diversification, including tokenized real-world assets. Still, the loss of a marquee investor raises questions about access to capital and the durability of treasury-centric corporate strategies in choppy crypto markets.
Read Our Expert Analysis
Create an account or login for free to unlock our expert analysis and key takeaways for this development.
By continuing, you agree to receive marketing communications and our weekly newsletter. You can opt-out at any time.
Recommended for you

ETHZilla launches Eurus Aero Token I to fractionalize jet‑engine lease income
ETHZilla has issued Eurus Aero Token I, a tokenized security that gives accredited investors fractional exposure to lease payments from two commercial jet engines. Priced at $100 per token and structured on Ethereum Layer 2s, the offer targets roughly 11% annual returns and is backed by the engines, lease contracts and insurance.

Kevin O'Leary awarded $2.8M; Harvard trims Bitcoin ETF stake as crypto ETP outflows accelerate
A U.S. federal judge granted Kevin O'Leary $2.8 million after Ben 'BitBoy' Armstrong failed to defend against defamatory social-media claims, intensifying Armstrong's legal and liquidity stress. Concurrently, institutional flows show strain: Harvard cut its BlackRock IBIT position by 21% while global crypto ETPs suffered $3.7 billion of redemptions last month.
