## 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."**

The move follows investor exits, asset sales and a retreat from holding Ethereum on the public company's balance sheet.

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