An official SEC 13G/A filing has confirmed that Founders Fund has fully exited its position in ETHZilla, revealing the fund previously held a 7.5% stake before the sale. Known as 'Ethereum's MicroStrategy' for its treasury focus, ETHZilla has seen its share price plummet by 95% since August. The amended filing, personally signed by Peter Thiel, shows that all associated entities now hold a 0.0% stake in the firm. This institutional abandonment follows a controversial $74.5 million liquidation of Ethereum (ETH) intended to settle debts, which triggered investigations into potential securities violations. Analysts suggest that the total exit of such a significant stake by a high-profile backer underscores deep-seated concerns over corporate governance. The outlook remains heavily bearish as the firm faces a combination of regulatory scrutiny and a near-total collapse in market valuation.
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