The Ether Machine Secures $1.5 Billion in Commitments to Go Public via SPAC Merger

The Ether Machine aims to become the largest public company focused on Ethereum, having raised over $1.5 billion ahead of its Nasdaq debut, as bullish momentum around ETH continues to accelerate.

The investment vehicle announced in a Monday press release that it plans to go public with more than $1.5 billion of fully committed capital. The company plans to launch with over 400,000 ETH and manage what it calls “the largest pool of assets in a public vehicle for pure-play institutional-grade exposure to Ethereum and ETH-denominated yield.”

Formed through a business combination between The Ether Reserve, LLC, and Nasdaq-listed ‘blank-check’ company Dynamix Corporation, The Ether Machine plans to go public on Nasdaq by Q4, pending regulatory approval, and will trade under the ticker “ETHM.”

Shares of Dynamix Corporation soared 30% on the news in pre-market trading, according to data from Yahoo Finance.

The Ether Machine explained in an X thread that it is choosing to accumulate ETH because Ethereum has become the “backbone of the digital economy,” noting the network settles over $14 trillion annually, anchors more than $130 billion in stablecoins, and secures most DeFi activity across the crypto ecosystem.

“Bitcoin is digital gold. Ether is productive digital oil. ETH generates real yield through staking. It’s burned with usage, making it deflationary. It’s programmable, composable, and used by everything from BlackRock to Uniswap. ETH is the reserve asset of Web3,” The Ether Machine wrote.

Largest All-Stock Financing Deal

With its chosen strategy, the firm aims to offer “transparent and compliant” access to ETH-denominated yield, as well as deliver “long-term, risk-adjusted returns through staking, restaking, and decentralized finance strategies.”

Former Consensys executive Andrew Keys will serve as co-founder and chairman and committed about $645 million — around 169,984 ETH — as an anchor investment. The company also secured commitments of over $800 million in common stock financing from institutional, crypto-native, and strategic investors, including 1Roundtable Partners / 10T Holdings, Archetype, Blockchain.com, cyber•Fund, Electric Capital, Kraken, and Pantera Capital.

The transaction is described as the “largest all-common-stock financing” committed at announcement since 2021, according to the press release. It is expected to deliver more than $1.6 billion in gross proceeds, including cash held in Dynamix’s trust account.

The company plans to generate yield through staking, support Ethereum projects, and offer infrastructure solutions for institutions and Ethereum-native projects.

The news comes soon after longtime Bitcoin supporter and strategist Tom Lee said he sees Ethereum becoming the backbone for bank-issued stablecoins, with banks buying ETH not to speculate, but to power and settle their digital liabilities.