Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert & block trade
Convert crypto with one click and zero fees
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Ethereum Updates: ETHZilla Utilizes ETH Proceeds for Buybacks Amid Ongoing Crypto Community Discussion on Price Versus Value Risks

Ethereum Updates: ETHZilla Utilizes ETH Proceeds for Buybacks Amid Ongoing Crypto Community Discussion on Price Versus Value Risks

Bitget-RWA2025/10/29 08:16
By:Bitget-RWA

- ETHZilla sold $40M in ETH to fund buybacks, aiming to reduce its 30% stock-NETV discount by repurchasing undervalued shares. - Shareholder pressure from activist investor Semenikhin drove the strategy, aligning with industry trends seen at firms like SharpLink Gaming. - The move sparked debate: proponents highlight NAV boosts and short-covering, while critics warn of ETH price suppression risks. - ETHZilla retains $400M in ETH treasury post-sale, maintaining its position as a major public Ethereum holder

ETHZilla Corporation (Nasdaq: ETHZ) has liquidated $40 million worth of

(ETH) to support a share repurchase initiative, with the goal of reducing the disparity between its share price and net asset value (NAV). Since October 24, the company has bought back close to 600,000 shares for a total of $12 million as part of its $250 million buyback authorization, marking a notable pivot to capitalize on its robust balance sheet, as detailed in a . CEO McAndrew Rudisill stated the action is "immediately accretive," given that the shares are trading well below NAV, and the company plans to keep selling ETH to fund repurchases until the price gap closes, according to a . still holds $400 million in ETH after the sale, maintaining one of the largest Ethereum reserves among publicly traded companies, as reported by a .

The company’s stock jumped 14.5%, closing above $22.50 on October 27, continuing a rally that started late last week, according to a

. This development comes after mounting pressure from shareholders, including activist investor Dimitri Semenikhin, who called on management to use Ethereum holdings for buybacks to unlock shareholder value, as mentioned in a . Semenikhin’s public letter came before the official announcement, pointing out the company’s missed opportunities to capitalize on its NAV premium. The report also observed that this approach mirrors a wider trend in the sector, with competitors like SharpLink Gaming (SBET) also launching large-scale buyback programs.

Ethereum Updates: ETHZilla Utilizes ETH Proceeds for Buybacks Amid Ongoing Crypto Community Discussion on Price Versus Value Risks image 0

The company’s strategy has ignited discussion in the crypto sector. Supporters claim that buying back undervalued shares increases NAV per share and curbs short selling (as previously covered by Yahoo Finance), while critics caution that ongoing ETH sales could trigger a "death spiral" if they drive down Ethereum’s price, as highlighted in a

. The ETH sale took place when prices hovered around $3,900, later climbing to $4,250—a timing aspect that has attracted attention in subsequent reports. ETHZilla’s board reaffirmed its focus on balancing treasury stability with shareholder interests, noting its zero net debt and a diversified approach that includes tokenization and DeFi protocol adoption, as previously mentioned.

ETHZilla’s actions underscore the increasing demand on crypto-centric companies to stabilize valuations amid market swings. With shares trading at a 30% discount to NAV as of October 2025 (as reported by Yahoo Finance), the company’s assertive buyback strategy is designed to bring market value in line with its asset base. The plan also seeks to address worries about share dilution and liquidity, as a smaller share count could boost NAV per share and strengthen investor trust, according to an

.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Bitcoin Updates Today: Bitcoin Breaks Above $112K Amid Fed Policy Shift and ETF Momentum Boosts Institutional Confidence

- Bitcoin surges past $112K driven by Fed rate cuts and institutional ETF adoption. - Fed's 100-basis-point cuts since 2024 and quantitative easing boost crypto liquidity. - U.S. spot Bitcoin ETFs inject $3.9T market capitalization while retail demand grows. - $409M in long-position liquidations highlights short-term volatility risks. - 2026 halving event and regulatory shifts remain key long-term price drivers.

Bitget-RWA2025/10/29 19:10
Bitcoin Updates Today: Bitcoin Breaks Above $112K Amid Fed Policy Shift and ETF Momentum Boosts Institutional Confidence

Bitcoin News Update: Despite $2.95 Billion in Crypto Liquidations, Blazpay's Presale and Chainlink Partnerships Stand Strong Against Market Volatility

- Crypto markets saw $2.95B in 24-hour liquidations, led by a $6.09M ETH-USD unwind on Hyperliquid, per Coinotag. - 140,507 traders faced margin calls, with short positions dominating losses amid Bitcoin/Ethereum price declines. - Blazpay's $925K presale and Chainlink's institutional partnerships offered rare stability during the sell-off. - $77.5M long liquidations and $15.3M short liquidations in 4 hours highlighted leveraged position fragility. - Analysts warn high-liquidity venues like Bybit/Hyperliqui

Bitget-RWA2025/10/29 19:10
Bitcoin News Update: Despite $2.95 Billion in Crypto Liquidations, Blazpay's Presale and Chainlink Partnerships Stand Strong Against Market Volatility

TRX News Today: Hybrid Safe Zones Arise: Crypto Holders Balance Risk and Practicality in 2025’s Varied Marketplace

- Crypto market in late 2025 highlights MoonBull ($MOBU), Chainlink ($LINK), and TRON ($TRX) as top assets with distinct growth drivers amid sector consolidation. - MoonBull's Stage 5 presale raised $500K, offering 9,256% projected returns via 95% APY staking and structured tokenomics, positioning it as a hybrid of meme-coin incentives and DeFi utility. - Chainlink ($17.91) stabilizes as a "blue-chip" oracle network, bridging blockchain and traditional finance through institutional-grade infrastructure and

Bitget-RWA2025/10/29 18:58
TRX News Today: Hybrid Safe Zones Arise: Crypto Holders Balance Risk and Practicality in 2025’s Varied Marketplace

Bitcoin Updates: Bitcoin Breaks Past $112,000 as Investors Turn to Digital Safe Haven

- Bitcoin surged past $112,000 following the U.S. Federal Reserve's policy decision, driven by geopolitical optimism, institutional interest, and strategic trading. - A seasoned trader, "0xc2a," secured $17 million in profits through Bitcoin and Ethereum long positions, highlighting whale influence on market sentiment. - Trump's planned meeting with Xi Jinping and a $400M influx into Bitcoin's DeFi protocols pushed prices to a 10-day high near $114,000. - Institutional adoption and $10B in Q3 M&A, alongsid

Bitget-RWA2025/10/29 18:42
Bitcoin Updates: Bitcoin Breaks Past $112,000 as Investors Turn to Digital Safe Haven