Peter Thiel went to zero in ETHZilla, and the ETH treasury firm commerce simply received much more actual
On Feb. 17, an amended 13G/A posted to ETHZilla’s investor web site listed Peter Thiel and Founders Fund-related autos at zero shares and 0.0% helpful possession.
The submitting additionally stamped a “date of occasion” of Dec. 31, 2025, which units the timing body for what the doc captures, a helpful possession snapshot that arrives on a compliance clock.
Bloomberg is reporting that Thiel and his Founders Fund have, actually, totally exited the corporate, finishing a easy arc that has been constructing for months.
Again in August 2025, the Palantir founder was a big stakeholder. A Schedule 13D submitting reported 11,592,241 shares and seven.5% helpful possession, with an occasion date of Aug. 4. The place then shrank. An modification filed Nov. 14, reported 928,389 shares and 5.6% as of Sept. 30.
That sequence turns into extra compelling whenever you keep in mind what ETHZilla got down to symbolize: a public-market try and bottle the Technique (previously MicroStrategy) playbook and pour it over Ethereum, with a Nasdaq ticker and a treasury story aimed toward traders preferring brokerages to wallets.
The submitting that turns the rumor right into a quantity
The Feb. 17 modification is the crispest model of “totally exited” that public markets ever hand you, nevertheless it appears the shareholders had already priced this in after Thiel’s 2025 gross sales. Since August final 12 months, ETHZ shares have declined by 95%, from round $74 to simply over $3.50.
The corporate was clearly underneath stress from greater than insider promoting. In a Jan. 2026 8-Ok, ETHZilla reported promoting 3,965.83 ETH for $12.58 million at a median value of $3,173.67, and it disclosed a remaining steadiness of roughly 65,850 ETH. A month earlier, there was a a lot bigger sale, about $74.5 million in ETH, tied to debt stress and a step again from the pure treasury posture.
In a Feb. 2026 8-Ok, the corporate disclosed it redeemed all excellent senior secured convertible notes, paying $516.148 million in principal and $87.745 million as a redemption premium, plus curiosity.
That’s the sound of pricey capital in a market that has began pricing treasury-company constructions with much less persistence.
All of this lands inside a wider story that has been forming throughout the class.
Crypto-treasury companies have been leaning on buybacks and leverage as fairness costs sag, and that broader context offers Thiel’s “0.0%” a special type of gravity.
The macro drawback, carry appears skinny and financing appears expensive
A treasury technique at all times finally ends up dwelling contained in the macro. Within the straightforward section of this commerce, the fairness trades at a premium to the underlying crypto, financing turns into the gas, and the loop feeds itself. ETH has an additional layer right here, as a result of staking yield and derivatives carry grow to be inputs within the spreadsheet.
Proper now, these inputs learn as modest cushions.
Public dashboards monitoring ETH futures foundation present annualized carry within the low single digits throughout maturities. Staking yield benchmarks sit in the identical neighborhood, with one index round 2.8% annualized.
When the carry is skinny, administration choices matter extra. ETH gross sales matter extra. Debt phrases matter extra. Fairness issuance phrases matter extra. And the market begins treating the ticker as a judgment on execution moderately than a easy proxy.
Treasury-company trades finally relaxation on the assumption {that a} public wrapper can maintain a risky asset and stay steady when the market shifts. Thiel’s exit doesn’t clarify the why, but it does plant a flag on the finish of a timeline.
Three paths from right here, and the numbers that can inform you which one you’re in
It helps to call the forks within the street and fix every fork to a small set of observable alerts.
One path is a premium loop reopening. ETH stabilizes, threat urge for food returns, and treasury firms regain room to finance development with out shrinking the core pile. The tells present up within the filings, fewer treasury reductions, cleaner raises, and a market keen to pay for publicity once more.A second path is a reduction entice. The fairness trades as a power low cost to the underlying holdings, and the corporate funds operations, acquisitions, and debt service by promoting a part of the pile. That model strikes slowly, and it exhibits up as a gentle drip of “treasury replace” math.A 3rd path is a reflexive unwind. A pointy ETH drawdown meets tight financing situations, compelled gross sales speed up, and the fairness begins behaving like a stress gauge. That model will get loud in headlines, and it normally leaves fingerprints briefly home windows of repeated steadiness sheet actions.
We will additionally use a easy numeric body to maintain the deal with actuality. ETHZilla disclosed roughly 65,850 ETH remaining in its Jan. 2026 8-Ok. A previous disclosure path famous 19,301,223 shares excellent, and that share rely offers us a tough technique to translate ETH worth into “per share” instinct.
At $2,000 ETH, 65,850 ETH involves about $131.7 million of ETH worth. Unfold throughout 19.3 million shares, that lands round $6.80 per share in ETH worth earlier than money, liabilities, working burn, and different steadiness sheet gadgets enter the image.
At $1,500 ETH, the tough determine sits nearer to $5.10. At $3,000 ETH, it rises to round $10.20. The purpose right here is the sensitivity, small strikes in ETH and small modifications in financing phrases can swing the story quick.
What to look at subsequent, the submitting breadcrumbs that preserve this from changing into a one-day meme
Begin with the ETH steadiness. The following time ETHZilla updates that quantity in an 8-Ok or a periodic report, path issues, and magnitude issues.
Then watch the capital construction. The debt redemption disclosed within the Feb. 2026 8-Ok got here with a big premium, and any alternative financing, fairness issuance, or new structured instrument will inform you what sort of market entry the corporate nonetheless has.
Then watch the technique floor space. The extra the corporate leans into adjoining bets and broader asset themes, the extra the ticker turns into a view on administration’s means to maintain a coherent story underneath stress. That pressure exhibits up within the firm’s personal prospectus language round shares and promoting stockholders.
Lastly, preserve the macro dials in view, as a result of they set the ceiling on how straightforward this commerce can get. The futures foundation curve and staking yield ranges are usually not aspect trivia, they feed instantly into how treasury-company methods look on paper and the way they really feel in a drawdown.
A number of crypto narratives finish in vibes. This one ends in a line merchandise, and the road merchandise reads 0.0%. Thield’s conviction on this Ethereum treasury automobile was short-lived, so the query turns into – what does he know that different Ethereum traders do not? Was it poor investor relations with ETHZilla or a extra broader situation with the enterprise mannequin?
