Peter Thiel and his Founders Fund have walked away from ETHZilla Corporation (ETHZ) entirely, according to an amended Schedule 13G filed Tuesday with the Securities and Exchange Commission. The billionaire investor signed the filing himself, which shows that every entity connected to Founders Fund now holds exactly 0.0% of ETHZ common stock as of the end of last year.

Everyone's Out

The SEC document lists six reporting parties involved in the exit: FF Consumer Growth II, LP; The Founders Fund Growth II Management, LP; FF Upper Tier GP, LLC; FF Consumer Growth, LLC; The Founders Fund Growth Management, LLC; and Thiel personally. Each one reported zero shares across the board—no sole voting power, no shared voting power, no sole dispositive power, no shared dispositive power. Just zeros all the way down.

A Quick Unwind

Back in August, Thiel personally owned 11,592,241 shares, which represented a 7.5% stake in the company. By December 31, that position had been completely liquidated. It's a clean break from the Ethereum (ETH) treasury firm, which holds the cryptocurrency as its core business strategy.

Shorts Pile On

While Thiel was heading for the exits, short sellers were moving in the opposite direction. Short interest in ETHZ climbed from 2.71 million shares to 2.85 million in the most recent reporting period. That's 15.08% of the company's available float—a substantial bearish bet.

Given ETHZ's average daily volume of around 505,260 shares, it would take roughly 5.64 days for short sellers to fully cover their positions without significantly impacting the stock price.

Where Things Stand

Ethereum itself, the asset underlying ETHZilla's entire business model, was trading at $1,981.69 at last check. The cryptocurrency posted modest gains—up 1.40% over the past hour, 0.61% over 24 hours, and 1.61% over the past week.

ETHZ shares weren't faring as well. The stock was down 0.85% at $3.48 at the time of publication Wednesday, trading uncomfortably close to its 52-week low of $2.99.