Ethereum financial firm ETHZilla sells $40 million worth of ETH to advance $250 million stock buyback plan

ChainCatcher news, according to The Block, Ethereum financial company ETHZilla (ticker ETHZ) has sold approximately $40 million worth of Ethereum holdings to repurchase shares. In August, the ETHZilla board authorized a share repurchase program of up to $250 million. Since selling Ethereum on October 24, ETHZilla has spent about $12 million to repurchase approximately 600,000 common shares.

In a press release on Monday, the company stated: "ETHZilla plans to use the remaining proceeds from the Ethereum sale for additional share repurchases and intends to continue selling Ethereum to repurchase shares until the discount of its share price to net asset value (NAV) returns to normal levels." Chairman McAndrew Rudisill said that when ETHZ's "share price trades at a significant discount to NAV," the company will continue to repurchase shares, which both reduces the number of common shares in circulation and increases its NAV valuation. According to the announcement released on Monday, the company still holds about $400 million worth of Ethereum on its balance sheet.