FG Nexus dumped all its Ethereum at a $45 million loss

FG Nexus has abandoned its Ethereum treasury strategy less than a year after launch, redirecting its focus toward real estate development.

In an Aug. 12 SEC filing, the Nasdaq-listed merchant bank disclosed that it sold all of its digital assets before June 30 and held no cryptocurrency at quarter-end.

FG Nexus, previously known as Fundamental Global, announced its Ethereum treasury strategy in July 2025 and launched the digital-asset operation the following month. At its peak, the firm held more than 50,000 ETH.

However, the firm began divesting the holdings this year amid a broader market contraction that significantly impacted digital asset treasury companies.

Ethereum staking returns fail to offset losses

The exit exposed how little staking income offset the losses generated by the company’s Ethereum-focused strategy.

FG Nexus recorded just $144,000 of staking revenue during the first half, equivalent to roughly 0.3% of the $45.207 million loss from its discontinued digital-asset operations.

That loss included a $41.167 million loss on ETH digital assets, $2.793 million of impairment on digital intangibles, and $1.789 million of general and administrative expenses, partly offset by a $398,000 gain on digital intangibles and the staking revenue.

The $45.207 million therefore represents the overall loss from the discontinued operation rather than a realized loss from selling Ethereum alone. Notably, this contributed to FG Nexus’s wider deterioration during the period as it reported a consolidated net loss of about $56.9 million for the first half of the year.

Meanwhile, the ETH liquidation returned substantial cash to the company’s balance sheet.

FG Nexus reported $60.956 million in cash proceeds from ETH sales during the first half and another $14.983 million receivable from digital-asset sales as of June 30, which it collected in July.