Peter Thiel’s Founders Fund will exit ETZilla when Ether’s reserves are stretched
Billionaire tech tycoon Peter Thiel's Founders Fund has completely pulled out of Ether treasury company ETZilla, according to a filing with the United States Securities and Exchange Commission (SEC) on Tuesday.
TL-related entities reported holding zero shares in the company in a 13G filing on Tuesday, after disclosing a 7.5% stake on Aug. 4, 2025.
At the time, the group traded at around $3.50 per share, representing 7.5% of the 154,032,084 shares outstanding at the start of August, representing 11,592,241 shares.
180 life sciences have been converted to ETZilla brands
180 Life Sciences has raised $425 million in July 2025 to launch an Ether Treasury strategy and name it ETHZilla.
The company later moved to raise another $350 million in convertible bonds in September to expand its Ether (ETH) holdings and deploy decentralized finance (DeFi) and tokenized assets.
Related: Bitmine's staked Ether holdings represent annual stake earnings of $164M
ETHZilla started offloading tokens when the market changed, releasing 24,291 Ether for $74.5 million in December 2025 at an average price of $3,068.69 per token, leaving about 69,800 ETH in balance to pay off the debt.
Stress on ether treasury company models
TL's exit is the latest sign of concern for public companies with crypto treasuries built around Ether rather than Bitcoin (BTC).
Other large ether reservoirs are taking different approaches. BitMine Immersion Technologies, the largest listed owner of Ethereum, acquired an additional 40,613 ETH on February 9, bringing its total holdings to more than 4.325 million ETH, which at the current price reaches $8.8 billion.
On the other hand, Trend Research began to liquidate the entire Ethereum space this month, selling 651,757 ETH for $1.34 billion on February 8, locking in an estimated loss of $747 million.
ETHZilla has since tried to do things differently with the launch of ETHZilla Aerospace, however, TL's exit shows just how volatile Ether's heavy treasury strategies have been in a market that has been rocking the past year.
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