Peter Thiel Quietly Exits Ethereum Treasury Firm ETHZilla – Warning Sign for the DAT Model?
Peter Thiel simply made a quiet however loud transfer. He and Founders Fund have totally exited their place in Ethereum treasury agency ETHZilla. The affirmation got here via a contemporary 13G submitting with the SEC.
That is a pointy pivot. Just months in the past, Thiel’s entry despatched the inventory flying greater than 90%. Now he’s out.
The timing raises eyebrows. It means that institutional enthusiasm for this Ethereum treasury mannequin could also be cooling, particularly with broader market volatility again in focus.
- Total Exit: Founders Fund liquidated its whole stake following an preliminary 7.5% acquisition in August 2025.
- Market Impact: ETHZilla shares slid practically 7% to $3.20 in premarket buying and selling, down 97% from their $107 peak.
- Strategic Pivot: The agency is shifting focus from pure ETH accumulation to tokenizing real-world belongings (RWA) like plane engines.
What Does the Exit Signal?
This is not only any investor stepping apart. Founders Fund was one in all the largest early backers, taking a 7.5% stake when ETHZilla pivoted from biotech right into a digital asset treasury play. At the time, that transfer felt like critical institutional validation for Ethereum linked stability sheet methods.
Now they’re out. Completely.
That doesn’t mechanically imply they’re bearish on crypto itself. It seems to be extra like a shift in confidence towards this particular treasury mannequin. The distinction issues.
Interestingly, Founders Fund has saved publicity to different crypto infrastructure names. That suggests selectivity, not retreat. In unstable markets, capital usually consolidates into what it sees as increased high quality performs relatively than spreading threat broadly.
Breaking Down the Filing And What Could Happen Next
The SEC filing exhibits Founders Fund totally liquidated its place. No trimming. No partial exit. A clear break. The market didn’t take it flippantly.
ETHZilla shares fell practically 7% in premarket buying and selling, hovering round $3.20. That is a brutal 97% drop from the $107 peak final August.
The weak spot traces up with the firm’s personal strikes. ETHZilla not too long ago offered $40 million price of ETH for inventory buybacks and one other $74.5 million to handle debt. It now holds about 69,802 ETH, roughly $139 million at present costs. That is small in comparison with bigger treasury gamers in the house.
The agency is now shifting towards actual world asset tokenization, focusing on areas like housing loans and plane engines.
At this stage, the story is not nearly holding ETH. It is about whether or not the RWA technique can generate actual income and stabilize the enterprise mannequin.
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