Peter Thiel acquires 7.5% stake in ETHZilla, driving stock up 207%
Tech billionaire Peter Thiel has acquired a 7.5% stake in ETHZilla, marking his second investment into an Ethereum treasury company in recent weeks.
- Thiel and related entities purchased a 7.5% stake in ETHZilla (formerly, 180 Life Sciences)
- ETHZilla’s stock jumped 207%, closing at $10.24 from $3.34 after the investment news.
- This follows Thiel’s recent 9.1% stake in BitMine Immersion Technologies last month.
Peter Thiel, a PayPal and Palantir co-founder, has made a significant investment in ETHZilla, a company formerly known as 180 Life Sciences that recently pivoted from biotech research to Ethereum ( ETH ) treasury management.
According to a recent SEC filing, Thiel and related entities acquired a 7.5% stake in ETHZilla, which currently holds 82,186 ETH, valued at approximately $349 million, with an additional $238 million in cash equivalents. The company plans to hold the Ethereum long-term and stake it through Electric Capital’s proprietary network strategies to generate yield for shareholders.
Following news of the investment, the company’s stock surged nearly 207%, closing at $10.24 compared to $3.34 close on Monday, as initially reported by Yahoo! Finance.
Thiel doubles down on Ethereum with BitMine and ETHZilla
The stake in ETHZilla marks Thiel’s second major crypto-focused investment in recent weeks. In mid-July, Thiel acquired a 9.1% stake in BitMine Immersion Technologies, a company that initially focused on Bitcoin mining but has since pivoted to building an Ethereum-centric treasury.
BitMine , now led by Fundstrat founder Tom Lee, more than doubled its ETH holdings from a $250 million private placement just days before Thiel’s investment.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
UBS Earnings Season Preview: Strong Momentum from AI Spending, Favoring Lam Research (LRCX.US) and Texas Instruments (TXN.US), Remaining Cautious on Western Digital (WDC.US)
Lam Research (LRCX.US), Texas Instruments (TXN.US), and Western Digital (WDC.US) are set to release their quarterly earnings reports in the coming days. UBS believes that, with continued high spending on artificial intelligence, all three companies are likely to benefit from this trend.
Deutsche Bank (DB.US) upgrades AST (ASTS.US) rating: Has the SpaceX (SPCX.US) spectrum acquisition triggered an unjust sell-off?
Deutsche Bank has upgraded AST SpaceMobile to a "Buy" rating with a target price of $93. Despite stock price volatility triggered by SpaceX's spectrum acquisition, analysts believe that the cooperation potential with T-Mobile and government orders constitute core support. The recent short-term pullback may present a good opportunity to build positions.
Bond Market Takes Over Rate Hikes, U.S. Stocks Rebound with Eyes on Two Key Signals
Morgan Stanley's Wilson pointed out that volatility in the bond market has effectively tightened financial conditions, serving as a substitute for further Federal Reserve rate hikes. He suggests investors focus on the decline of the MOVE Index and the performance of the four major banks' earnings reports to determine whether market pressure has peaked.
Crypto prices
More
