Former biotech company ETHZilla is expanding into real-world asset markets by acquiring a 15% stake in digital housing lender Zippy, with plans to tokenize manufactured-home loans onchain. This is ETHZilla’s second acquisition in a week, following a $16.1 million deal with Zippy. The company aims to integrate Zippy’s loan-origination and AI-powered systems with ETHZilla’s tokenization stack. As part of the agreement, ETHZilla will have a board seat at Zippy and an exclusivity period for blockchain infrastructure and digital asset issuance. This move aligns with ETHZilla’s broader push into real-world asset markets, positioning it as the sixth-largest Ether treasury company.

ETHZilla’s stock price has declined by around 10% following the announcement of its acquisition of Zippy. This comes after the company’s pivot to an Ether treasury business earlier this year, which saw its stock price climb before experiencing a significant reversal. Several other public companies that adopted Ether as a balance-sheet asset have faced similar share-price declines, showcasing the volatility and risks associated with this strategy in a changing market environment.

Bitmine Immersion, led by Fundstrat’s co-founder Tom Lee, has also faced challenges as its stock reached an all-time high in July but has since dropped significantly. This trend reflects the broader market dynamics impacting companies with Ether treasury strategies, highlighting the potential risks and uncertainties involved in this approach. As Ether’s price continues to fluctuate, companies with treasury strategies must navigate these challenges to maintain their financial stability and market position.

Read more at Cointelegraph: ETHZilla Buys 15% of Zippy to Tokenize Manufactured Home Loans