ETHZilla buys 2 planes for $12 million amid tokenization

ETHZilla acquires 2 plane engines as it goes beyond a crypto-only treasury strategy

ContentsEngine acquisition and lease structureServicing agreement and purchase optionsTokenization strategy drives diversificationThe firm had to pay upwards of $12 million to venture into aircraft engine leasing.

In a separate company, ETHZilla Corporation had purchased two commercial aircraft engines at a cash price of $12.2 million. The acquisition represents a push into the real world assets at a time when the crypto market is weaker.

Regulatory reports indicate that the engines are CFM56-7B24, bought by an affiliate of Avean. The purchase entailed transport stands and engine records. ETHZilla achieved the deal under ETHZilla Aerospace LLC.

Engine acquisition and lease structure

It had already leased its engines to a large airline during the acquisition. The transaction required ETHZilla to be part of the previous lease agreements. The economic closing date was to be September 30 last year.

To reduce operational interruptions in the event of maintenance, the airlines tend to hire spare engines on lease. This practice is in aid of a specialized global leasing market. These are large companies in the industry like AerCap, Willis Lease Finance, and SMBC Aero Engine Lease.

Its engines are still on Aircraft Engine Lease Agreements with a big carrier. These plans give repeated revenue along with restrained operational participation. The final purchase value contained the deposits and pricing changes confirmed by ETHZilla.

Servicing agreement and purchase options

ETHZilla entered into a servicing contract with Aero Engine Solutions together with the acquisition. The servicer will be in charge of the engines during the lease term. The contract involves a fee for servicing monthly.

The contract offers a mutual right to purchase after the end of the lease or easy termination. ETHZilla can make the servicer purchase either engine at a price of $3 million. Such an option is applicable in case there are contractual requirements.

The servicer also has the right to make ETHZilla sell an engine at the same price. Both parties made the terms sound and affirmed that they are adequately introduced in the agreement submitted. THEZilla pointed out that the summary is not exempted by the full contract language.

Tokenization strategy drives diversification

The leadership of ETHZilla has defined an intention to tokenize on-chain aerospace assets. The first targets identified by the Chairman and Chief Executive, McAndrew Rudisill, were aircraft engines and airframes. The company intends to develop operating income and tokenization.

The aviation relocation is in line with the general market trends. The Global engine shortage has been threatened by the International Air Transport Association. In 2025, the airlines are likely to pay about 2.6 billion on spare engine leasing.

According to market research cited by ETHZilla, the sector is projected to have consistent growth. From the 2025 aircraft engine leasing market of $11.17 billion, the same market can grow to 15.56 billion in 2031.

Today we are launching our updated website to better reflect our mission – modernizing capital markets through real-world asset tokenizationhttps://t.co/QvGkqgccDg pic.twitter.com/DuXJgWoFAR

— ETHZilla (@ETHZilla_ETHZ) January 21, 2026

Loan tokenization ventures have also been undertaken by ETHZilla. They consist of ownership in the home lending company Zippy and the car finance company Karus. Both endeavors are in an attempt to organize compliant on-chain financial instruments.

The company continues to be in possession of $198.5 million in Ether. It sold ETH to pay buybacks and debt repayments. The ETHZilla shares are not performing well, as they dropped significantly since the beginning of August, which puts a strain on the revenues.