ETHZilla's Strategic Pivot
Former Ethereum treasury firm ETHZilla has announced a complete rebranding to Forum Markets, with plans to trade under the new ticker FRMM on Nasdaq starting March 2. This move formalizes a significant shift away from the company's original strategy of positioning itself as a public proxy for Ethereum exposure.
The Rise and Fall of an Ethereum Treasury Strategy
The company's shares peaked at $107 on August 13, 2025, shortly after announcing plans to build a $425 million Ethereum treasury following its pivot from biotech. This strategy initially attracted investor interest but ultimately unraveled as the stock price declined dramatically.
Shares have fallen approximately 96% from their August peak, despite a 13.3% rise to $3.91 following the rebranding announcement. The company has been reducing its crypto holdings and selling assets to scale back exposure.
High-Profile Investor Exits
The rebrand follows Peter Thiel's Founders Fund exiting its 7.5% stake in ETHZilla during Q4 2025. The departure of this prominent early backer came as the stock slid sharply and the firm's positioning as a publicly traded proxy for ETH exposure faced increased scrutiny.
New Focus: Tokenized Real-World Assets
Under the Forum Markets name, the company plans to focus on developing tokenized products backed by real-world assets, using regulated infrastructure rather than holding large crypto positions on its balance sheet. This includes recent moves into jet engine leasing and other aviation-related assets to bolster its business model amid weakening Ethereum prices.
Expert Analysis: The Fragility of Single-Asset Strategies
Vincent Liu, chief investment officer at quantitative trading firm Kronos Research, told Decrypt: "Single-asset treasury strategies are highly dependent on strong market conditions and sustained equity premiums."
He explained that such strategies could be considered "fragile because its value is tightly linked to network activity," creating "a correlation trap where purchasing power weakens during ecosystem downturns."
Liu further noted that "Treasury-focused firms ultimately need revenue-generating businesses and broader asset exposure to remain relevant long term."
Market Fragmentation Challenges
The vulnerability of single-asset strategies is compounded by fragmentation across Ethereum's main network and its layer-2 chains, which Liu said dilutes its narrative and premium. This condition is "further undermined by the absence of a hard supply cap, leaving its long-term scarcity proposition open to question."
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