Fundamental Global Files $5 Billion Plan to Become Largest Corporate Ethereum Holder

A publicly traded company has filed paperwork with the SEC to raise up to $5 billion, mostly to buy Ethereum.

Fundamental Global Inc. (Nasdaq: FGF) wants to own 10% of all Ethereum tokens in circulation.

The Charlotte-based company announced the shelf registration on August 8, 2025. This filing gives them permission to sell stock and raise money over time when market conditions are good.

Company Transformation and New Leadership

Fundamental Global is changing its name to FG Nexus Inc. The company brought in heavy hitters from Wall Street to lead this new direction.

Joe Moglia, who used to run TD Ameritrade, joined as an advisor. Maja Vujinovic, who helped bring blockchain technology to General Electric years ago, now leads their digital asset business.

“This marks a pivotal moment in our evolution,” said Kyle Cerminara, the company’s CEO. “FG Nexus will leverage our deep capabilities in merchant banking, reinsurance, and capital markets to unlock the full potential of Ethereum as a reserve asset.”

The company already raised $200 million in August from big crypto investors like Galaxy Digital, Kraken, and Digital Currency Group.

Ambitious 10% Network Target

The company wants to own 10% of all Ethereum tokens. This would make them the biggest corporate holder of Ethereum by far.

Right now, other companies like SharpLink Gaming own about $2.2 billion worth of Ethereum. BitMine holds around $3.5 billion. If Fundamental Global spends their full $5 billion on Ethereum, they would dwarf these holdings.

Source: @FGNexusio

“We believe this framework will enable us to capitalize on ETH accumulation opportunities and support our target of a 10% stake in the Ethereum Network,” Cerminara explained.

The total value of all Ethereum tokens is around $473 billion. Owning 10% would mean controlling roughly $47 billion worth of the cryptocurrency.

Following the Corporate Crypto Trend

Fundamental Global joins a growing list of companies putting cryptocurrency on their balance sheets. This trend started with MicroStrategy buying Bitcoin, but now companies are looking at Ethereum treasuries too.

Companies like these see Ethereum as more than just a digital coin. It powers smart contracts, decentralized finance apps, and most stablecoin transactions. Over half of the $268 billion stablecoin market runs on Ethereum.

Maja Vujinovic, who leads FG Nexus’s digital asset division, said the strategy creates multiple ways to make money: “ETH price appreciation, staking rewards, and access to the expanding ecosystem of tokenized real-world assets.”

Recent data shows institutions bought 3.2% of all Ethereum tokens in just two months. This buying pressure has helped push Ethereum prices higher.

Stock Market Reaction and Risks

FGF stock had a wild ride after the announcement. Shares jumped 3.76% in after-hours trading when the news broke. But by Friday’s close, the stock had crashed 48%.

This shows how risky this strategy can be. The company’s success now depends heavily on Ethereum’s price movements. If Ethereum’s value drops significantly, FG Nexus could face big losses on paper.

The SEC filing warns about several risks. Ethereum’s price could fall below what the company paid for it. Government regulations could change. The accounting rules for holding crypto assets could shift.

The company currently has a market value of about $46.47 million, much smaller than the $5 billion they want to raise. This means they would need to issue a lot of new stock, which could dilute existing shareholders.

Regulatory Hurdles Ahead

The $5 billion shelf registration has been filed but isn’t active yet. The SEC must approve it before FG Nexus can actually sell any stock or raise money.

Even after approval, the company can only raise money when market conditions are favorable. They plan to sell stock gradually over time through an “at-the-market” program worth up to $4 billion.

The remaining $1 billion could come from other types of securities like preferred stock or debt. This gives the company flexibility in how they raise the money.

Current SEC rules limit how much the company can raise initially because their public float is relatively small. Once their market value grows, these restrictions would lift.

What This Means for Ethereum

If successful, FG Nexus could become a major force in the Ethereum ecosystem. Owning 10% of all tokens would give them significant influence over the network.

The company plans to stake their Ethereum holdings, which means locking up tokens to help secure the network and earn rewards. This could reduce the available supply of Ethereum for trading.

Large institutional purchases like this often drive up cryptocurrency prices. Other companies might follow this strategy if it proves successful.