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ETHZilla Sells Millions in Ether Amidst Crypto Downturn
23 Dec
Summary
- ETHZilla sold $74.5 million of Ether to pay down debt.
- Company is exploring tokenization of real-world assets.
- Shares have fallen significantly since its biotech pivot.
ETHZilla has recently divested approximately $74.5 million in Ether, citing the need to reduce its outstanding debt. This move comes as the company, previously 180 Life Sciences Corp. and rebranded as a digital asset treasury, reevaluates its business strategy amid market volatility.
The firm, which had embraced Ether accumulation following a pivot from its biotech operations in August, is now considering various capital-raising methods. These include further Ether sales and equity offerings, as it aims to advance its business objectives, notably the 'tokenization of real world assets.'
This strategic shift by ETHZilla, backed by billionaire Peter Thiel, follows a period of intense investor interest that saw its stock surge. However, the company's shares have since experienced a significant downturn, reflecting broader challenges within the cryptocurrency market.
