FG Nexus Inc. Shares Plunge 16.7% on Ethereum Treasury Shift

On July 31, 2025, Fundamental Global Inc. (FGF) experienced a significant drop of 16.7% in pre-market trading, marking a notable decline in its stock value.

Fundamental Global Inc. (FGF) has undergone a strategic shift, rebranding to FG Nexus Inc. and allocating $200 million to establish an Ethereum treasury. This move, announced on July 9, 2025, involves issuing 40 million prefunded common stock warrants priced at $5.00 each. The capital will be used to acquire Ethereum, with plans to leverage its value through staking and long-term appreciation. The company aims to bridge traditional finance with decentralized technologies by investing in Ethereum, a platform increasingly integrated into global financial systems.

The market's initial reaction to this strategic pivot was mixed, with shares falling by more than 13% in early trading on July 20, 2025. This decline indicates investor uncertainty about the company's new direction. However, FG Nexus remains confident in its model, which is backed by a leadership team with experience in both traditional and digital finance. The firm has also opened investor communications to provide further clarity on its strategy.

This development underscores a growing institutional interest in Ethereum as a core financial asset. FG Nexus joins a rising number of public companies incorporating digital assets into their treasury strategies, signaling a shift in how traditional businesses view blockchain technology. The move aligns with broader trends of capital flowing into Ethereum-based products, particularly staking and tokenized assets, as the platform continues to evolve.