Meme Stock Investor Sparks ETHZilla’s $40 Million ETH Selloff

Summary

ETHZilla sold about $40 million of ETH to fund a share buyback after activist investor Dimitri “Capybara Stocks” Semenikhin, who owns roughly 2.2% of the company, pushed for the strategy citing a roughly 50% discount to net asset value. CEO McAndrew Rudisill said the firm will keep selling ether to repurchase shares while the stock trades below NAV, prompting a 14% intraday jump and an after‑hours rise to $23. The move tightens the gap between market price and NAV and could trigger continued treasury liquidations and buybacks, a dynamic that will affect liquidity and investor returns; Founders Fund holds a 7.5% stake.