Peter Thiel’s Strategic Investment in Ethereum: A New Era of Corporate Crypto Treasuries
In an ambitious move within the cryptocurrency sector, Peter Thiel is significantly increasing his stake in the burgeoning “corporate Ethereum treasury” trend. Recent filings with the US Securities and Exchange Commission reveal that Thiel’s Founders Fund has acquired a substantial 7.5% passive interest in 180 Life Sciences Corp. (Nasdaq: ATNF), now rebranded as ETHZilla. This company is transitioning its focus towards accumulating Ethereum (ETH) and optimizing on-chain yield opportunities.
Thiel’s Commitment to Ethereum’s Potential
As of August 11, the disclosure, undersigned by Peter Thiel, demonstrated beneficial ownership across various Founders Fund entities, totaling approximately 11.6 million shares of ATNF—representing 7.5% of the company’s available shares. The market reacted sharply, with ATNF shares surging over 200% on Tuesday, closing around $10.24 before stabilizing in after-hours trading.
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ETHZilla’s strategic shift is far from speculative. A press release submitted to the SEC on August 12 detailed the company’s significant holdings of 82,186 ETH at an average acquisition cost of $3,806.71 per Ether, amounting to roughly $349 million as of the filing date. Additionally, the company reported holding approximately $238 million in US dollar cash equivalents, underscoring its robust financial position.
ETHZilla’s Strategic Vision and Execution
Executive Chairman McAndrew Rudisill articulated ETHZilla’s vision as an institutionally focused Ethereum reserve, actively engaging in staking and on-chain yield strategies managed by external experts. “At ETHZilla, we’ve deployed over $350 million in capital since finalizing our PIPE transaction last week, aiming to fulfill our on-chain yield generation objectives through our partnership with Electric Capital,” Rudisill stated.
This ambitious strategy follows a rapid sequence of financing events supporting ETHZilla’s accumulation plan. On August 4, the company concluded a $425 million private placement, succeeded by the issuance of approximately $156 million in senior secured convertible notes due in 2028, all aimed at swiftly augmenting its Ethereum reserves.
Broader Implications for the Crypto Market
Thiel’s deepening involvement with ETHZilla comes shortly after his group disclosed a 9.1% passive stake in BitMine Immersion Technologies (NYSE American: BMNR), another key player in the public “ETH treasury” sector. This earlier filing, also signed by Thiel, catalyzed a rally in BMNR shares.
BitMine continues to make headlines, recently expanding its at-the-market equity program by an additional $20 billion, bringing the total to $24.5 billion to support further Ethereum acquisition efforts. This expansion was formalized in a Form 8-K and prospectus supplement filed on the same day.
Tom Lee, co-founder of Fundstrat and Chairman of the Board at BitMine, is spearheading one of the most extensive Ethereum accumulation strategies to date. With approximately 1.2 million ETH already acquired—worth around $5 billion—BitMine is strategically positioned to achieve its goal of controlling 5% of Ethereum’s total supply.
Peter Thiel’s Strategic Vision for Ethereum
Collectively, Thiel’s investments signal a strong belief in Ethereum’s long-term value. The recent acquisition of a 7.5% stake in ETHZilla, following the 9.1% stake in BitMine, underscores his conviction that Ethereum’s potential appreciation will surpass the challenges of dilution, financing costs, and market volatility, justifying aggressive balance sheet strategies to capitalize on future gains.
As of the most recent valuation, Ethereum traded at $4,655, reflecting its strong performance and growing institutional interest.
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