Peter Thiel and Founders Fund have fully exited their position in ETHZilla, as revealed by a recent 13G/A filing showing zero shares and 0.0% beneficial ownership as of December 31, 2025. This marks a significant shift from August 2025, when Thiel held 11,592,241 shares, representing 7.5% ownership. The exit follows a dramatic 95% decline in ETHZilla's share price, from $74 to just over $3.50. ETHZilla, which aimed to replicate the MicroStrategy model for Ethereum, has faced financial pressures, including significant ETH sales and debt redemptions. In January 2026, the company sold 3,965.83 ETH for $12.58 million and disclosed a remaining balance of approximately 65,850 ETH. The company's recent financial maneuvers, including redeeming $516.148 million in senior secured convertible notes, highlight the challenges faced by crypto-treasury firms amid tightening market conditions.