Crypto Stock Backed by Peter Thiel Plummets Following Debt Repayment

ETHZilla's Share Decline: Shares of ETHZilla fell by 7.61% after the company disclosed selling $74.5 million worth of Ethereum to redeem outstanding debt, marking a 26.30% drop in its price over the past six months.

Shift in Strategy: ETHZilla, which recently pivoted to an Ether-based digital asset treasury, is now stepping away from accumulating Ether and focusing on revenue growth from real-world asset (RWA) tokenization, targeting various markets.

Discontinuation of Transparency Tools: The company announced it will discontinue its mNAV dashboard, which tracked the relationship between its market capitalization and crypto holdings, indicating a shift away from the transparency expected by crypto-focused investors.

Impact of Peter Thiel's Involvement: Following a surge in shares after Peter Thiel acquired a stake in ETHZilla, investor enthusiasm has cooled, reflecting a broader trend of small-cap Nasdaq companies struggling with crypto treasury strategies amid falling Ethereum prices.