Ethereum News Today: Peter Thiel's 7.5% Stake Sparks 207% Surge in ETHZilla Stock Price

Peter Thiel, co-founder of PayPal and Palantir, has acquired a 7.5% stake in ETHZilla, formerly known as 180 Life Sciences, a move that has triggered a 207% surge in the company’s stock price [1]. The investment was disclosed via a recent SEC filing, revealing that Thiel and related entities now hold a significant portion of the firm, which has rebranded and shifted from biotech research to Ethereum treasury management [3]. The company disclosed an Ethereum reserve of 82,186 ETH, valued at approximately $349 million, and an additional $238 million in cash equivalents [2].

ETHZilla’s stock closed at $10.24 on Thursday, up from $3.34 the previous week, marking one of the most dramatic stock surges in the small-cap sector [1]. The rapid appreciation has drawn attention from both traders and institutional observers, as the firm’s pivot to cryptocurrency aligns with a broader trend of traditional companies repositioning to capture crypto-related value [3]. The investment also reflects Thiel’s growing influence in the crypto space, following his recent 9.1% stake in BitMine Immersion Technologies, an Ethereum-focused firm led by Fundstrat founder Tom Lee [2].

Thiel’s Founders Fund has a long history of investing in high-potential, high-risk ventures, and his recent moves suggest a continued commitment to cryptocurrency infrastructure [3]. ETHZilla’s rebranding and its aggressive accumulation strategy mirror similar trends in the crypto industry, where companies are leveraging digital assets to attract capital and generate yield through staking and other mechanisms [2]. The firm plans to stake its Ethereum holdings via Electric Capital’s proprietary network, a strategy expected to generate returns for shareholders.

The investment also coincides with a recent 30% rise in Ethereum prices, amplifying the potential upside for ETHZilla as it continues to build its digital asset holdings [3]. The firm’s stock has now become one of the most actively discussed in the life sciences and crypto sectors, with many observers noting the potential for further growth if the company continues to expand its Ethereum treasury [1].

The move highlights the ongoing convergence between traditional finance and crypto, with institutional investors and venture capital firms increasingly allocating capital to digital assets and the companies that manage them [2]. As ETHZilla moves forward with its new strategy, the market will be closely watching whether it can sustain the momentum generated by Thiel’s high-profile investment [3].

Source:

[1] https://crypto.news/peter-thiel-acquires-7-5-stake-in-ethzilla-driving-stock-up-207/

[2] https://stocktwits.com/news-articles/markets/equity/this-small-cap-life-sciences-stock-tripled-ethereum-pivot-peter-thiel/chrzw6JRdJw

[3] https://decrypt.co/334906/solana-chainlink-lead-crypto-rally-double-digit-gains