ETHZilla Secures $350M Investment, Igniting DeFi Summer 2.0 Momentum

ETHZilla Corporation, which shifted from biotechnology and rebranded in July 2025, has secured an additional $350 million via convertible debentures, raising its total capital pool above $506 million ETHZilla unleashes fresh $350M war chest for Ethereum bets [ 1 ]. This funding round, backed by a returning institutional investor, will be used to grow the company’s

(ETH) portfolio and earn returns by investing in the Ethereum ecosystem, including layer-2 networks and blockchain-based real-world assets ETHZilla Corporation (ETHZ) Stock: Gains Momentum with $350M … [ 2 ]. The new debenture instruments offer a 2% annual interest, can be converted at $3.05 per share—which is 1.05 times the firm’s Market Net Asset Value (mNAV)—and will reinforce ETHZilla’s financial stability ETHZilla Announces $350 Million Add-On Convertible Debenture … [ 3 ]. The company has also modified the terms of its earlier $156.5 million convertible bonds, dropping the interest rate to 0% until February 2026, after which it reverts to 2% ETHZilla Corporation Secures $350 Million in Convertible … [ 4 ].

ETHZilla currently owns 102,264

, worth about $462 million, and holds $559 million in cash and equivalents ETHZilla unleashes fresh $350M war chest for Ethereum bets [ 1 ]. With the $506 million capital infusion, the company could purchase another 120,000 ETH, potentially boosting its total ETH holdings beyond 222,000. ETHZilla’s investment strategy prioritizes placing ETH into “income-generating assets” on the Ethereum platform, such as protocols delivering ongoing revenues and fostering decentralized finance (DeFi) advances ETHZilla unleashes fresh $350M war chest for Ethereum bets [ 1 ]. So far, the company has earned 1.5 million unidentified tokens through its participation in the ecosystem and bought back 6.45 million shares in September 2025, reflecting its confidence in its own capital structure ETHZilla Corporation (ETHZ) Stock: Gains Momentum with $350M … [ 2 ].

Ranking as the eighth-largest Ether treasury among 69 publicly listed firms, ETHZilla’s assets represent 4.25% of all ETH in circulation, while the collective ETH reserves of these companies exceed $22 billion ETHZilla unleashes fresh $350M war chest for Ethereum bets [ 1 ]. The move from biotech to Ethereum investments has revitalized ETHZilla’s stock, which is up 31% this year following a years-long decline of over 99% ETHZilla unleashes fresh $350M war chest for Ethereum bets [ 1 ]. Despite recent price swings—trading at $2.45 after hours—ETHZilla’s CEO McAndrew Rudisill has highlighted the importance of scalability and stable operating leverage for consistent cash generation ETHZilla Corporation (ETHZ) Stock: Gains Momentum with $350M … [ 2 ]. The firm also intends to share financial outlooks in its third-quarter earnings, offering more transparency about its Ethereum investment plans ETHZilla Announces $350 Million Add-On Convertible Debenture … [ 3 ].

The convertible debenture offering mirrors a wider industry shift in crypto, as companies increasingly focus on active yield generation over simple crypto holdings. ETHZilla’s strategy is in line with the new wave of DeFi growth spurred by Ethereum-based projects ETHZilla unleashes fresh $350M war chest for Ethereum bets [ 1 ]. With support from institutional investors and key partnerships, ETHZilla seeks to cement its place in decentralized finance, while staying mindful of risks from market swings and evolving regulations ETHZilla Announces $350 Million Add-On Convertible Debenture … [ 3 ]. Its financial standing, with a debt-to-equity ratio of 0.26 and a current ratio of 0.58, points to moderate leverage and some liquidity constraints ETHZilla secures $350 million in convertible debentures [ 5 ].

ETHZilla faces industry challenges such as possible large ETH sell-offs and competition from other Ethereum-focused treasury firms. Nonetheless, its emphasis on tokenizing real-world assets and enhancing layer-2 solutions positions it to benefit from Ethereum’s continued expansion. Recent share buybacks and debt restructuring highlight its dedication to creating value for shareholders, though ongoing ETH price stability and judicious capital deployment will be crucial. With reserves totaling $506 million,

is set to play a significant part in shaping the future of decentralized finance ETHZilla unleashes fresh $350M war chest for Ethereum bets [ 1 ].