Ethereum Treasury Firm FG Nexus and Buterin Continue ETH Sell-Off

Ethereum price is soaring today, up 5%, despite treasury firm FG Nexus and co-founder Vitalik Buterin continuing to reduce their ETH holdings. The latest sales come as ETH trades near $1,920 after a 37% monthly decline. At the same time, on-chain data shows whales accumulating large amounts of ETH during the downturn. The mixed signals have left traders assessing whether the market is stabilizing or preparing for further volatility.

FG Nexus Expands ETH Sales Amid Deep Losses

According to Lookonchain, FG Nexus sold another 7,550 ETH worth about $14.06 million. The firm had previously purchased 50,770 ETH for $196 million at an average price of $3,860 in August and September 2025. On October 22, 2025, it announced plans to sell property to acquire more ETH.

Less than a month later, the firm began reducing its position. It offloaded 21,025 ETH at an average price near $2,649. Following the latest transaction, FG Nexus holds 30,094 ETH valued at around $57.5 million, while its total reported loss stands near $82.8 million.

The continued selling has drawn attention because it contrasts with earlier expansion plans. Market participants are monitoring whether further treasury reductions occur in the coming weeks.

Vitalik Buterin Wallet Outflows Continue

Arkham Intelligence data shows that wallets attributed to Vitalik Buterin held about 241,000 ETH at the start of February. That balance has declined to roughly 224,000 ETH. The reduction aligns with his January announcement to allocate 16,384 ETH, valued at nearly $43 million, to privacy and open hardware projects. 

Consequently, approximately 70% of the planned sales have been completed. That leaves around 4,962 ETH, worth about $9.5 million at current prices, still to be sold.

Recent transactions show steady outflows executed through CoW Protocol. The sales were split into smaller swaps to reduce slippage. Reports indicate that about $6.6 million in ETH was sold over three days earlier this month. Another $7 million was sold during the past three days.

Ethereum has declined about 37% over the past month and trades near $1,900. Staking yields remain near 2.8%, and over 30% of supply remains locked. The ongoing wallet reductions have added pressure during a period of weak sentiment.

ETH Whales Accumulate as Leverage Flush Clears Market

While treasury and founder sales continue, whale behavior shows a different pattern. Between January 27 and February 6, ETH fell about 43%. During that period, open interest dropped from $15.9 billion to about $8.73 billion. The $7.17 billion decline reflects a large leverage flush.

At the same time, large holders increased their balances from 104.48 million ETH to 113.39 million ETH. This represents a net addition of 8.91 million ETH. At an estimated average price near $2,100, the value of this accumulation approaches $18.7 billion.

Source: Santiment

Exchange data also shows persistent net outflows. On February 23, exchange outflows reached 227,300 ETH. Although outflows slowed to 109,631 ETH the next day, net movement remained negative. This suggests coins were transferred to private wallets rather than prepared for sale.

Long-term holder data has also shifted. The HODLer Net Position Change metric turned positive on February 21. By February 24, long-term holders added 9,454 ETH in one day. Meanwhile, the share of ETH held by short-term holders dropped from 3.2% to 2.1%.