180 Life Sciences Secures $425 Million in Private Placement to Enhance Ethereum Treasury Strategy

180 Life Sciences has taken a bold step in its growth plan. The biotech company has closed a $425 million private placement to boost its work and reshape how it manages its money. Instead of following the usual cash‑only route, the firm plans to use part of these funds to build a treasury in Ethereum, one of the world’s leading blockchain networks.

This move stands out in the biotech world. Few drug‑development companies explore digital assets for financial stability. We see this as more than just funding. It shows how traditional health research can link with new‑age finance. It also reflects a wider shift; businesses are slowly testing blockchain as part of their balance sheet strategy.

Company Background

180 Life Sciences was launched in 2016 as a biotechnology firm that deals with clinical-stage research. It develops treatments for inflammation and fibrosis, with its main program in phase 2b/3 trials centered on anti-TNF agents. The firm has also explored software-enabled gaming and iGaming. In recent years, rising losses and low revenue pushed the company toward creative funding paths.
This new Ethereum strategy aims to support research while opening doors through novel financial tools.

Private Placement Details

On July 29, 2025, 180 Life Sciences announced a PIPE (private investment in public equity) deal worth $425 million. Shares and pre-funded warrants were offered at $2.65 per share.  Electric Capital and Harbour Island led the round. Over 60 institutional and crypto-focused investors took part, including Polychain Capital, GSR, Borderless Capital, and Ethereum community members, including Konstantin Lomashuk and Sreeram Kannan, among others. The company may also issue up to $150 million in debt securities shortly.

Ethereum Treasury Strategy

The company intends to start acquiring Ethereum (ETH) in the next few weeks using the funds it has raised. ETH will serve as the core of its newly adopted treasury policy.  Electric Capital will take on the role of managing the company’s assets as an external manager. They will run a differentiated on‑chain yield program that mixes staking, lending, liquidity provisioning, and private agreements, designed to outperform basic ETH staking.
Part of the capital will cover transaction costs, management bonuses, ongoing iGaming operations, and efforts to monetize biotech intellectual property.
This strategy reflects a broader shift: companies are beginning to hold digital assets as treasury reserves. Ethereum is considered a long-term asset that can hold value and generate potential returns.

Strategic Implications

This shift supports the company’s dual focus on biotech innovation and financial flexibility. By diversifying with ETH exposure, 180 Life Sciences aims to fund its anti‑TNF and fibrosis research while testing a new model of capital use.
It may also attract crypto-native investors interested in Ethereum exposure through public markets. With ETH holdings, the company could serve as a bridge for institutional interest in DeFi.

The company intends to rename itself ETHZilla Corporation, reflecting its focus on Ethereum as a primary asset and framing its role as an ETH accumulation entity.

Industry and Regulatory Context

A growing number of firms, beyond tech, are integrating digital assets into balance sheets. MicroStrategy pioneered this with Bitcoin, while others now explore Ethereum as a reserve asset. In this context, 180 Life Sciences stands out as one of the few biotech firms embracing Ethereum treasury management.
On regulation, the SEC and global bodies continue to refine rules on corporate crypto holdings. Accounting practices around digital assets remain complex. Biotech firms like 180 Life Sciences will need strong compliance as they navigate crypto exposure.

Challenges and Risks

Ethereum’s price is volatile. Large ETH holdings expose the company to swings in crypto markets that could affect its balance sheet. The company must also balance its research goals with managing a crypto treasury; both require careful planning.
Holding crypto may raise questions from traditional investors who worry about clarity and risk. Compliance and secure crypto custody are essential to avoid governance issues.

Conclusion

The acquisition of 180 Life Sciences brought the company to a new stage, at which a treasury strategy based on Ethereum was planned to be developed. We see this as a unique blend of biotech research and digital asset management. The firm’s move to rebrand as ETHZilla highlights its shift toward Ethereum-focused operations.
As the company begins buying ETH and rolling out yield strategies, we’ll watch how it manages research priorities alongside crypto strategy, potentially offering a new blueprint in biotech funding.

Disclaimer:

This content is for informational purposes only and not financial advice. Always conduct your research.