As part of its quarterly earnings announcement, Ethereum Treasury Company FG Nexus reported the sale of 10,922 ETH. Why did the company make this U-turn?
Ethereum Treasury Company FG Nexus Sells 10,922 ETH
A few months ago, while crypto treasury companies were booming, we repeatedly warned about the risks of capital loss they posed.
And for good reason: behind their polished public relations, many of them seemed to have been created solely to try to prop up a stock price that had been in free fall for several years. While a few examples have already come to light, it is now FG Nexus’s turn—a company that still held 50,778 ETH as of September 30.
However, in its press release announcing its third-quarter results, the company revealed that it had sold nearly 11,000 units to finance share buybacks:
On October 23, 2025, the Company began repurchasing its common shares as part of its previously announced share repurchase program. To finance this transaction, the Company borrowed approximately $10 million and sold 10,922 ETH, the proceeds of which were used to accelerate the repurchases and enhance shareholder value.
Considering the price of ETH on October 23 and the price at which it was trading at the end of July—when FG Nexus announced a $200 million fundraising round to finance its Ethereum Treasury Company project—it is likely that the transaction resulted in neither a loss nor a gain.
However, while the company reports having repurchased 3.4 million common shares at an average price of $3.45 per share, we can only conclude that this was not enough to reverse the stock’s disastrous performance on the market.
After climbing as high as $41.25 in August, FGNX stock has now fallen by more than 94%, below its pre-announcement price:
FGNX stock price (daily data)
Meanwhile, the price of ETH continues to struggle, trading at $2,730 at the time of this writing, down 10% over the past 24 hours.
