ETHZilla Corp 8-K

What Happened

• ETHZilla Corporation (ETHZ) announced on February 5, 2026 (8-K filing) that, through its new wholly owned subsidiary ETHZilla Modular Mortgage LLC (EMM), it closed on January 30, 2026 the purchase of 95 manufactured/modular home loans and the related first‑lien mortgages from Zippy Manufactured Home Credit Fund I L.P. for a total purchase price of $4,674,595 (paid to Zippy), equal to 104% of the outstanding principal as of January 29, 2026. The acquired loans have an approximate yield of 10.36% per annum and will be serviced by Zippy Loans, LLC.
• To help fund this and other acquisitions, the company sold 3,965.83 Ether (ETH) at an average price of $3,173.67 for gross proceeds of $12.58 million; ETHZilla reports 65,850 ETH remaining on its balance sheet. ETHZilla also disclosed it acquired roughly 15% of the fully diluted equity of Zippy, Inc. in December 2025.

Key Details

• Acquisition closing date: January 30, 2026; 95 loans purchased for $4,674,595 (104% of outstanding principal).
• Loans yield: ~10.36% per year; servicer: Zippy Loans, LLC (affiliate of seller).
• Funding: sale of 3,965.83 ETH for ~$12.58M; ETH holdings remaining: 65,850 ETH.
• Management change: Eric Van Lent resigned as Chief Accounting Officer effective January 30, 2026; his consulting contract (EVL Consulting) was not renewed after the company named John Saunders CFO in Nov 2025.
• Tokenization plan: ETHZilla intends to tokenize the loans into a cash-flow generating manufactured-home loan token and make it available on Liquidity.io later in February 2026 (following a planned aircraft engine token launch).

Why It Matters

• The acquisition adds a new income-producing portfolio (95 loans yielding ~10.36%) to ETHZilla’s assets and aligns with the company’s stated strategy to convert real‑asset cash flows into tokenized products.
• The ETH sale provided significant liquidity (~$12.6M) to fund the purchase and other investments while leaving ETHZilla with a substantial ETH balance.
• The resignation of the outsourced CAO reflects an internal finance staffing change after the appointment of a full‑time CFO; investors should note ongoing shifts in financial oversight and execution as the company scales loan acquisitions and tokenization efforts.