Markets responded with a 13% drop in share price after the company unveiled its $200 million Ether treasury plan. Shares of Fundamental Global plunged today on the Nasdaq after the company announced a major strategic shift toward Ether (ETH) as its primary treasury asset. The firm revealed plans to allocate $200 million to ETH, funded through a private placement of 40 million common stock warrants priced at $5 each. The move aligns Fundamental Global with other corporates building ETH treasuries. According to an announcement, the company aims to offer “multiple value drivers beyond ETH price appreciation,” including staking rewards and exposure to tokenized real-world assets. Strategic investors backing the pivot include Galaxy Digital, which will manage the company's ETH treasury; Kraken, which will assist with staking and treasury operations; and Hivemind Capital. As part of the pivot, Fundamental Global is changing its name to “FG Nexus.” Read more
ETH onchain data predicts a rally to $4,500, but a bearish RSI divergence warns of a correction in the short term. Key takeaways: Ether perpetual futures volume has surpassed Bitcoin, signaling a major shift in market interest. A bearish RSI divergence points to short-term exhaustion. Read more
Equity investment vehicles present ETH in a way that is palatable to investors in the legacy financial system, Bitwise Chief Investment Officer Matt Hougan says. Ether treasury and holding companies have solved Ethereum’s narrative problem by packaging the digital asset in a way that traditional investors understand, drawing in more capital and accelerating adoption, according to Matt Hougan, chief investment officer at Bitwise. Hougan told Cointelegraph that Ethereum had struggled to define income-producing features for traditional financial investors until its native token, Ether (ETH), was packaged in an “equity-wrapper.” Hougan said: “But if you take $1 billion of ETH and you put it into a company and you stake it, all of a sudden, you're generating earnings. And investors are really used to companies that generate earnings,” he said. Read more