Crypto Sale Moves From ETHZilla, Sequans Spark DAT Unwind Fears

Why It Matters

The sell‑offs signal that DAT companies are beginning to liquidate assets to normalize valuation discounts, potentially triggering broader market pressure and testing the resilience of the nascent corporate crypto‑treasury model.

Summary

Ethereum treasury firm ETHZilla sold roughly $40 million of ETH and used $12 million to repurchase 600,000 shares, narrowing its market‑to‑NAV discount to 0.62 and lifting its Nasdaq price 5.4%. Bitcoin treasury company Sequans transferred about 970 BTC to a Coinbase Prime hot wallet, a likely first major BTC sale, which pushed its shares up 4.7% and left its mNAV at 0.74. Both moves come after months of aggressive crypto accumulation across digital‑asset‑treasury (DAT) firms and have sparked speculation of an early‑stage unwind of corporate crypto holdings. Analysts warn that coordinated sales could expose structural fragility in the rapidly growing DAT market.