A company previously focused on biotechnology has undergone a major transformation, now functioning as a cryptocurrency accumulation vehicle with a substantial Ethereum (ETH) holding valued at $419 million.
On Monday, August 18th, 180 Life Sciences Corp. officially rebranded as ETHZilla Corporation, introducing its fresh identity and a new financial strategy centered around accumulating Ethereum. This shift signals a complete change from biotechnology to concentrating on Ether. The company began trading on the Nasdaq under the new ticker symbol ETHZ.
Headquartered in Palm Beach, the company revealed it possesses 94,675 ETH, acquired at an average cost of $3,902.20 per coin. According to a press release obtained by The Defiant, these holdings are currently valued at approximately $411 million, based on Ethereum’s present price of $4,342. Furthermore, the company holds $187 million in readily accessible cash. ETHZ stock finished the day at $7.41, marking a 5.26% increase.
This rebranding coincides with a growing trend of on-chain treasury management, as traditional finance (TradFi) institutions increasingly incorporate digital assets into their treasury strategies. Ethereum is particularly attractive due to the potential for yield generation, making it a preferred choice over Bitcoin (BTC) for many firms.
ETHZilla’s transformation was supported by a $565 million capital raise, drawing participation from over 60 institutional investors and crypto-native entities, including Electric Capital, Polychain, and GSR. Several prominent crypto industry figures also invested, such as Sreeram Kannan, founder of Eigenlayer; Mike Silagadze, founder of Ether.fi; Danny Ryan, Grant Hummer, and Vivek Raman, co-founders of Etherealize; and Tarun Chitra, founder of Gauntlet.
“Today marks our full embrace of ETHZilla, reflecting our dedication to building a leading strategy designed to bring the value of Ethereum to public market investors,” stated McAndrew Rudisill, Executive Chairman. “We are launching this new brand and treasury strategy with significant market interest and valuable collaborations with prominent founders and leaders within the Ethereum ecosystem.”
The company has selected Electric Capital as its external asset manager, tasking them with implementing a yield-generating strategy. This strategy aims to surpass traditional ETH staking returns through a combination of staking, lending, liquidity provisioning, and private agreements.
Recent data indicates that the amount of ETH staked has reached a record high, demonstrating increasing long-term confidence in the Ethereum network. As of this week, over 35.7 million ETH, valued at almost $154 billion, is locked within Ethereum’s Proof-of-Stake system, representing approximately 30% of the total ETH supply, according to BeaconChain. However, it’s important to note that a considerable number of stakers are also seeking to withdraw their ETH as its price approaches its all-time high.