Crypto treasury firm ETHZilla has sold a large chunk of its Ether (ETH) holdings to help pay down its debt, as digital asset prices continue to swing wildly. The move reflects a growing trend among crypto-focused companies to reduce financial risk during ongoing market uncertainty.

In a recent filing with the U.S. Securities and Exchange Commission (SEC), ETHZilla disclosed that it sold 24,291 ETH for approximately $74.5 million. The average price per token was around $3,068.69. Following this transaction, the company still holds about 69,800 ETH on its books.

ETHZilla plans to use most, if not all, of the proceeds from the sale to repay its senior secured convertible notes — a type of debt that can be turned into company shares in the future. This move is part of a broader financial strategy aimed at improving the company’s balance sheet.

Formerly known as 180 Life Sciences Corp, ETHZilla shifted its focus from biotech to digital assets on July 29. The company had seen its stock plummet by over 99.9% since going public in 2020. The rebrand marked a major strategic pivot toward Ethereum investments.

ETHZilla has also made recent investments in other sectors. In December, it acquired a 20% stake in Karus, an AI-driven automotive finance startup, and a 15% stake in Zippy, a digital housing lender.

Despite these moves, the company’s stock continues to struggle. It dropped 8.7% on Monday and has lost more than 65% of its value so far this year, according to Google Finance.

This development comes as more publicly traded companies are adjusting their crypto strategies. In September, data showed that over 190 public firms were holding Bitcoin (BTC) on their balance sheets — representing more than 5% of all BTC in circulation. Ethereum is seeing similar interest, with around 6 million ETH held by 27 public companies, which also makes up about 5% of the token’s circulating supply.

But with Bitcoin falling from its recent peak of $126,000 and the entire altcoin market facing pressure, many crypto treasury firms are now selling off assets to shore up their finances.

In October, FG Nexus sold 10,922 ETH to fund a stock buyback program. The cash helped repurchase about 3.4 million shares at an average price of $3.45 each.

In November, tech firm Sequans Communications sold 970 BTC to repay half of its convertible debt. This lowered its total debt to $94.5 million and reduced its Bitcoin holdings from 3,234 BTC to 2,264 BTC.

Meanwhile, Strategy — the first public company to adopt a Bitcoin-focused treasury model — raised $747.8 million by selling over 4.5 million shares of Class A stock between December 15 and December 21. The funds were added to its cash reserves to help weather the ongoing crypto market downturn.

As digital asset prices remain unpredictable, more crypto-focused companies are expected to follow similar paths — selling tokens and shifting strategies to stay financially healthy.