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Ethereum digital asset treasury (DAT) company ETHZilla has sold approximately $40M of ETH treasury holdings to finance an aggressive share repurchase program, the Peter Thiel-backed company announced late Monday.
What’s the Scoop?
- Strategic Sales: ETHZilla said it will continue liquidating ETH holdings to fund additional buybacks “until the discount to NAV is normalized.” Despite the recent sale, ETHZilla still holds around $400M ETH on its balance sheet.
- Accretive to Shareholders: “We’re leveraging the strength of our balance sheet to execute share repurchases at a significant discount to NAV,” said McAndrew Rudisill, ETHZilla’s chairman and CEO in a press release about the buyback. “These repurchases should be immediately accretive to shareholders while reducing the float available for stock loan and borrow activity.”
- Activist Pressure: Just 45 minutes before ETHZilla announced share buyback plans, pseudonymous investor Dimitri “Capybara Stocks” Semenikhin publicly pleaded with ETHZilla management to repurchase stock and close ETHZ's persistent 30-40% discount to NAV. Semenikhin has been attributed credit for a recent price surge in Beyond Meat (BYND).
Bankless Take:
While numerous DATs have promised to sell their treasury holdings and repurchase shares to prevent persistent NAV discounts, ETHZilla is quite possibly the first to actually execute a buyback program. ETHZ shares rallied ~15% on the announcement, meanwhile, ETH prices are flat on the day.
0/ ETHZilla today announced share buyback of approximately $40 million as ETHZ trades at a significant discount to NAV. Since Friday, October 24, we have repurchased ~600,000 shares for roughly $12M under the $250M buyback authorization, and plan to continue to repurchase our…
— ETHZilla (@ETHZilla_ETHZ) October 27, 2025
