Ethereum ETH coin on green stock chart graph background, close-up

Ethereum coin on green stock chart graph background, close-up. Source: FellowNeko - stock.adobe.com

Key Takeaways:

ETHZilla announced a $250 million stock buyback following its pivot from biotech to crypto and major Ethereum acquisitions.
The company now holds over 102,000 ETH, valued at roughly $489 million, and plans to stake with Electric Capital.
Analysts warn that ETHZilla’s leveraged crypto strategy, despite boosting stock sentiment, poses significant financial risks.

ETHZilla has authorized a $250 million stock buyback, highlighting a growing trend of companies leveraging cryptocurrency holdings to boost liquidity.

The decision follows its recent pivot from biotechnology, where it rebranded from 180 Life Sciences to focus on Ethereum (ETH) as its core strategy.

1/ ETHZilla now holds a total of 102,237 ETH (up from 94,700 ETH) purchased at an average price of $3,948.72.

We are also excited to announce a stock repurchase program of up to $250 million of the company's outstanding shares of common stock ($ETHZ). pic.twitter.com/yvAcpl68Un
— ETHZilla (@ETHZilla_ETHZ) August 25, 2025

Since the shift, ETHZilla has acquired 102,237 ETH at an average cost of $3,948.72, spending just over $403 million, now valued at approximately $489 million.

The company also plans to stake its Ethereum holdings with Electric Capital.

While the buyback was justified using traditional reasons such as “market conditions” and “management discretion,” analysts caution that reliance on aggressive crypto treasury strategies, particularly those using leverage, could expose firms to significant financial risks if markets reverse.

ETHZilla’s stock has seen a renewed boost from its ETH focus, but its fundamentals remain weak, with minimal revenues, sustained losses, and an accumulated deficit of $141.5 million.

The company joins others like BitMine Immersion Technologies and Ether Capital Corp. in adopting Ether as a treasury asset – a strategy often compared to gold reserves, but carrying amplified risks when funded with debt.