DeutschETHZilla is one of the largest Ethereum treasury companies in the world. Currently, the company holds over 102,000 ETH worth approximately half a billion US dollars. It only started the new business in August. Now, it is investing 100 million USD in restaking and thus earns four million US dollars per year – completely passively.
Bitvavo, one of the leading exchanges from Europe (Netherlands) with a large selection of cryptocurrencies. PayPal deposit possible. For a limited time only: 10 Euro bonus when you sign up via CoinPro.ch
ETHZilla: how the ETH Treasury Earns a Fortune
In August, a new Ethereum treasury company started with ETHZilla. Since then, it has acquired 102,246 Ether worth 456 million US dollars. Particularly noteworthy: There are now already eleven different companies that specialize in forming Ethereum reserves.
Comparing the Ethereum treasuries, ETHZilla ranks only fifth in terms of the extent of its reserves. Nevertheless, the company knows how to invest its capital profitably. How it succeeds, ETHZilla recently announced.
“We are excited to announce today that we will be investing approximately $100 million worth of ETH holdings into Ether.fi’s restaking protocol,” ETHZilla wrote on X on Tuesday.
You are currently seeing a placeholder content of X. To access the actual content, click on the button below. Please note that data will be passed on to third-party providers.
Restaking allows the use of already staked ETH to also protect other protocols through multiple, parallel staking. This not only improves the overall security of the ecosystem, but also increases the investor’s income.
“EtherFi was selected for its ability to generate additional yields through restaking beyond standard ETH staking,” the press release said.
While native Ethereum staking currently yields passive annual income of 2.90 percent, Ether.fi even distributes 3.99 percent profit, according to its own information. The only disadvantage: ETH cannot be used. Instead, investors have to rely on the synthetic Ethereum image weETH. Ether.fi guarantees an exchange rate between ETH and weETH of 1:1.
According to ETHZilla’s explanation, the use of restaking is only one of several methods that generates passive income. Other decentralized applications are also to be used in the future.
“This is our first engagement with DeFi protocols, but it certainly won’t be our last!”
This is how much Money Institutions Earn in DeFi
Crypto treasury companies are currently very trendy. More and more companies internationally are joining this trend. In the meantime, it has become a popular business model for listed companies to only invest in a specific cryptocurrency. A second business segment is being used less and less.
Data from Coingecko shows: In addition to the eleven existing Ethereum treasuries, 115 companies invest in Bitcoin, six in Solana, two in BNB, one in Hyperliquid, two in Sui and one in Tron.
Cryptocurrencies that enable a direct investment in DeFi – such as Ethereum and Solana – allow the use of the acquired coins in decentralized finance. The crypto reserves can then not only profit from price gains, they can even grow completely passively.
ETHZilla invests 100 million US dollars in Ether.fi – which, thanks to the annual return of 3.99 percent, leads to a passive income of a whole 3.99 million US dollars per year. ETHZilla wants to further exploit the strength of the Ethereum blockchain in the future.
“Our partnership with EtherFi represents a strategic evolution of our treasury management approach,” explained McAndrew Rudisill, Chairman of ETHZilla.
ETHZilla was known as 180 Life Sciences Corp (ATNF) until August and was active as a pharmaceutical company. Today it is available on the NASDAQ under the ticker ETHZ and said goodbye to its previous core business.
