ETHZilla’s CEO, McAndrew Rudisill, has announced his decision to fully commit to Ethereum after recognizing its potential in the nearly trillion-dollar global remittance sector.
Just two months later, his previously struggling biotechnology company has transformed into the eighth-largest public Ethereum treasury worldwide.
“Ethereum serves as a global gateway for monetary transmission in US dollars,” Rudisill informed Cointelegraph.
The company originated as Life Sciences Corp, a biotech firm listed on Nasdaq, which rebranded to ETHZilla Corporation in July, shortly after President Donald Trump signed the GENIUS Act, which aims to regulate stablecoins.
“There are numerous real-world applications for assets in Ethereum, and they are currently unfolding,” he added, emphasizing Ethereum’s value storage capabilities.
ETHZilla ranks as the eighth-largest holder of Ether (ETH) among 69 listed corporations, boasting over 102,000 tokens.
Rudisill mentioned that the company opted for Ether specifically because the “race has already begun” to determine the leading blockchain, and “the horse has left the barn” for Ethereum.
“Many of the new networks developed on layer 2s will interface with what we refer to as traditional finance activities today, including structured credit and various Wall Street applications.”
ETHZilla aims for “as much Ether as possible”
BitMine Immersion Technologies stands as the largest Ether treasury company, holding 2.65 million tokens valued at over $11 billion, with a goal of retaining 5% of the total token supply.
Rudisill stated that while ETHZilla doesn’t have a specific target, they aim to gather “as much Ether as possible” and leverage it across various L2 protocols to achieve “significantly higher yields” compared to conventional staking.
“We are reallocating cash from Ether to acquire more and actively contribute to the development of the L2 network, as that’s ultimately what will facilitate Ethereum’s growth,” Rudisill noted.
“ETHZilla was created to bridge traditional finance and the digital finance realm. Therefore, a substantial Ethereum holding is essential.”
Ether price expected to rise with stablecoin growth
Currently, Ether trades at $4,148, according to CoinGecko, fluctuating between $3,846 and $4,226 over the past week.
Rudisill forecasts that a price of $20,000 for Ether within the next few years is plausible, citing its long-standing consolidation pattern that could break out alongside stablecoin growth.
“Once it surpasses $5,000, I anticipate that the underlying infrastructure’s tightness will push prices up. We may already be at that juncture.”
The GENIUS Act awaits final regulations prior to implementation, but analysts predict it will significantly influence the market.
Simultaneously, there are currently $158 billion in stablecoin transactions on the Ethereum network, according to DefiLlama, far exceeding the $77 billion on the second-largest network, Tron.
More Ether companies expected to emerge
Ether treasury companies collectively hold 5.5 million Ether, roughly 4.54% of the total supply. Rudisill speculates more companies may enter the market but is doubtful that all will thrive over time.
“There will likely be significant differences in quality and management among these firms, and many may lack sustainable business models,” he explained.
At the same time, Rudisill believes that more governments will engage with cryptocurrencies to avoid being left out.
Related: Solana treasury race heats up as firms hunt staking rewards.
“There’s a broad acknowledgment that much of the existing financial infrastructure is outdated, and if they don’t engage with digital assets, they risk falling behind,” Rudisill concluded.
“That’s why we’ve seen large banks and financial players discussing various digital assets and accepting Bitcoin as collateral; we are in a globally transformative period.”
Originally established in 2016 as a clinical-stage biotech firm, Life Sciences went public in 2020; however, after its IPO, the stock fell by over 99% in five years.
This decline was primarily due to insufficient revenue and rising losses, yet since ETHZilla’s shift to Ether, the stock has gained 44% this year, with August marking its best month when it surged to $10.70.
Rudisill mentioned that although many smaller public companies without a clear strategy typically face restructuring or delisting, ETHZilla is distinct.
“We are not merely a crypto treasury; we are developing a cash-flow-generating layer-2 protocol enterprise with assets exceeding $1 billion,” he emphasized.
“Our focus lies on long-term technology development and genuine utility, rather than short-term financial tactics. This rebranding and strategic shift indicate a planned approach to growth and innovation.”
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