Digital asset treasury companies whose sole business is investing in tokens have fallen out of favor with investors and how.
Billionaire entrepreneur and co-founder of PayPal and Palantir Technologies’ venture arm Peter Thiel has wiped the slate clean on ETHZilla, selling every last share of the ether-hoarding digital asset treasury firm late last year, new filings with the Securities and Exchange Commission show.
Thiel’s Founders Fund now shows a big zero in ownership, down from a 7.5% stake in August last year.
ETHZilla, a Palm Beach-based cryptocurrency investment firm, mimics Michael Saylor’s bitcoin hoarding company Strategy (MSTR). ETHZilla started out as a failed biotech stock called 180 Life Sciences, before pivoting hard into the Ethereum (ETH) treasury, amassing over 100,000 ETH tokens at its peak.
However, the fund panicked when markets peaked in early October and $40 million worth of ether for buybacks, then $74.5 million more in December to reduce convertible bond debt. According to Bloomberg, the company is pivoting strongly again, launching ETHZilla Aerospace to offer investors tokenized portions of leased jet engines.
