ETHZilla Sells $74.5M Ether To Cut Debt

ETHZilla, a Nasdaq-listed firm focused on building an ether treasury, has sold 24,291 ETH for $74.5 million as part of efforts to reduce its debt burden. The sale, completed at an average price of $3,068 per token, marks the company’s second major ETH liquidation.

Proceeds from the transaction will be used to redeem senior secured convertible notes, according to regulatory filings. Following the sale, ETHZilla’s holdings declined to roughly 69,800 ETH, still valued at over $200 million. However, the move underscores growing stress among digital asset treasury firms whose stock prices have fallen far more sharply than the value of their crypto holdings.

ETHZilla shares have lost around 96% from their August highs, making it difficult to raise fresh capital. Earlier this quarter, the company sold $40 million worth of ETH to fund share buybacks, though the stock continued to slide. Management indicated it may pursue further ETH sales or equity offerings as it works to stabilize its balance sheet.

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