FG Nexus, a publicly traded Ethereum treasury and infrastructure company, has offloaded another 7,550 ETH, worth approximately $14 million, amid a significant downturn in the crypto market. This latest sale is part of a series of disposals that have collectively resulted in over $80 million in losses for the firm, highlighting the risks of aggressive crypto treasury strategies.
A Rocky Road for FG Nexus
FG Nexus’s troubles began in August and September 2025, when the company accumulated 50,770 ETH at an average price of $3,860 per coin, totaling around $196 million. Despite this initial bullish stance, the company’s strategy was soon tested as the market turned. By October, ETH prices had soared to over $4,600, but by November, they had plummeted to around $2,700. This dramatic drop forced FG Nexus to start selling off its holdings.
Heavy Losses and Market Impact
As of the latest sale, FG Nexus has liquidated just over 21,000 ETH, netting about $55 million but incurring a loss of over $80 million. The company’s share price has also taken a significant hit, dropping by approximately 52% over the past month. Despite these setbacks, FG Nexus remains one of the largest publicly traded owners of ETH, with current holdings of 37,594 ETH, according to on-chain data from Arkham.
Industry-Wide Pain
FG Nexus is not alone in its struggles. Other major ETH treasury companies are also grappling with substantial losses. Bitmine Immersion Technologies, the largest listed ETH holder with 4,422,659 ETH, is sitting on paper losses of around $8.8 billion. Similarly, ETHZilla, another prominent player, has seen its stock plummet by about 97% from its all-time high, as equity markets penalize aggressive ETH-heavy strategies.
Bitcoin Treasury Companies Feel the Heat
The strain on crypto treasury plays extends beyond Ethereum. Bitcoin treasury companies are also facing intense scrutiny. Metaplanet, a Bitcoin (BTC) treasury company, has come under fire from shareholders for allegedly hiding losses and key details of its Bitcoin bets. Despite continued BTC purchases throughout February, the largest listed owner of BTC, Strategy, has become the most-shorted large-cap US stock, according to data from Goldman Sachs, as hedge funds turn bearish on the highly leveraged Bitcoin-centric balance sheet model.
Looking Forward
The challenges faced by FG Nexus and other crypto treasury companies underscore the volatility and risks inherent in the crypto market. As the industry continues to evolve, companies will need to adopt more nuanced and diversified strategies to mitigate the impact of market fluctuations. The current downturn may serve as a crucial learning experience, potentially leading to more robust and resilient treasury management practices in the future.
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