Special Purpose Acquisition Company to Form Ether-Focused Fund Targeting Institutional Investors

A team of crypto-native researchers and public market experts co-founded by Andrew Keys and David Merin is preparing to launch Ether Machine, which it claims will establish the largest yield-bearing Ether fund targeting institutional investors.

Announced Monday, Ether Machine will create a publicly traded vehicle offering institutional-grade exposure to Ethereum infrastructure and Ether yield, via a combination with The Ether Reserve and Nasdaq-listed special purpose acquisition company Dynamix Corp.

Previous responsibilities included Keys’ role as a former board member and head of global business development at Consensys, and Merin serving as Consensys’ former corporate development executive and now as Ether Machine’s CEO.

The company aims to “expand Ethereum’s economic security as the base layer for the next era of global finance and computation,” according to its website.

Ether Machine plans to list on Nasdaq under the ticker symbol “ETHM,” with over 400,000 ETH worth approximately $1.5 billion initially under management.

Yield focus and Ethereum-native strategy

Operational plans involve holding one of the largest on-chain ETH positions of any public company. The fund aims to generate ETH-denominated returns through staking, restaking, and managed participation in decentralized finance (DeFi) protocols.

Furthermore, Ether Machine intends to offer “turnkey infrastructure solutions” for enterprises, DAOs, and Ethereum-native builders.

CoinDesk has requested additional confirmation from Ether Machine regarding the precise scale of the fund’s intended ETH exposure.

The timing of this announcement coincides with an increase in corporate treasury allocations to Bitcoin and cryptocurrencies. Recent examples include Nasdaq-listed Lion Group’s $600 million Hyperliquid (HYPE) token treasury reserve and Nasdaq-listed Interactive Strength announcing a $500 million raise for Fetch.ai (FET) tokens.

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In other crypto business news, Chainlink co-founder believes blockchain compliance tools can slash traditional finance costs. Meanwhile, the High Conviction newsletter expressed a strong belief in potential future price surges for both ETH and SOL.