Peter Thiel-backed crypto stock crashes on shocking news

The Ethereum treasury firm ETHZilla Corporation (ETHZ) announced a stock repurchase program of up to $250 million on Aug. 25.

ETHZilla said that the program is expected to be funded using the company's working capital and from funds raised in at-the-market (ATM) offerings or other future financings.

The program is scheduled to expire by June 30, 2026, when a maximum of $250 million of the common stock has been repurchased, or upon the Board of Directors' discretion.

McAndrew Rudisill, executive chairman at ETHZilla, said:

"As we continue to scale our ETH reserves and pursue differentiated yield opportunities, we believe an aggressive stock repurchase program at the current stock price underscores our commitment to maximizing value for shareholders."

The company holds 102,237 ETH worth approximately $489 million and aims to stake the most recently purchased ETH to Electric Capital's proprietary Electric Asset Protocol to generate yield.

ETHZilla, formerly known as 180 Life Sciences Corp, transformed from a biotech company into a crypto treasury firm following a private investment worth around $425 million on July 29.

Later, it even secured an investment from billionaire tech investor and PayPal (Nasdaq: PYPL) co-founder Peter Thiel, who holds a 7.5% stake in ETHZilla.

Following the example of the Bitcoin treasury firm MicroStrategy (Nasdaq: MSTR), a few Ethereum treasury firms such as ETHZilla and BitMine Immersion Technologies (NYSE: BMNR) have also emerged.

The latest announcement from ETHZilla comes on the heels of Ethereum hitting a new all-time high (ATH) and nearing $5,000 on Aug. 24.

Following the news, the ETHZ stock first soared to $3.75 before dropping 16%.

This story was originally reported by TheStreet on Aug 25, 2025, where it first appeared in the Investing section. Add TheStreet as a Preferred Source by clicking here.

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