ETHZilla Announces First Ever Tradable Tokenized Aviation Assets on Ethereum Network Secured by Jet Engines on Lease with a Leading U.S. Air Carrier

Rhea-AI Summary

ETHZilla (Nasdaq: ETHZ) launched the Eurus Aero Token I, the first tradable tokenized aviation asset on Ethereum L2s, backed by two CFM56 jet engines acquired for approximately $12.2 million. Tokens priced at $100 each (minimum 10) target an approximate 11% return and deliver monthly cash distributions from engine lease payments through 2028.

The offering is issued by ETHZilla Aerospace, distributed via the Liquidity.io ecosystem, secured by engines, lease receivables, reserves, and insurance, and initially offered to accredited investors under Regulation D.

Positive

• $12.2M of aircraft-engine collateral supports the token
• Target yield of ~11% based on full lease term
• Leases provide defined contractual cash flows through 2028
• Engines are currently unlevered, no debt expected in the deal

Negative

• Investment concentration: only two engines leased to one carrier
• Offering limited to accredited investors, restricting market liquidity
• Minimum purchase of 10 tokens ($1,000) limits smaller retail access
• Liquidity and trading confined initially to the Liquidity.io ecosystem

News Market Reaction

+4.94%

12 alerts

+4.94% News Effect

+7.6% Peak Tracked

-5.2% Trough Tracked

+$3M Valuation Impact

$69M Market Cap

1.4x Rel. Volume

On the day this news was published, ETHZ gained 4.94%, reflecting a moderate positive market reaction. Argus tracked a peak move of +7.6% during that session. Argus tracked a trough of -5.2% from its starting point during tracking. Our momentum scanner triggered 12 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $3M to the company's valuation, bringing the market cap to $69M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Engine purchase value: $12.2M Token price: $100 per token Minimum investment: 10 tokens +5 more

8 metrics

Engine purchase value $12.2M Acquisition cost of two CFM56 commercial jet engines backing Eurus Aero Token I

Token price $100 per token Offering price for Eurus Aero Token I on Liquidity.io

Minimum investment 10 tokens Minimum purchase size for accredited investors

Target return 11% Target rate of return for holding tokens through full lease term

Number of engines 2 CFM56 engines Commercial jet engines leased to a leading U.S. air carrier

Put/call right $3M per engine Lease includes a $3M put/call right at lease conclusion with service provider

Lease horizon Into 2028 Engine leases extend into 2028, defining contractual cash flows

Tokenization partner Liquidity.io platform Exclusive distribution ecosystem for Eurus Aero Token I

Market Reality Check

Price: $3.48 Vol: Volume 1,149,219 is 1.87x...

high vol

$3.48 Last Close

Volume Volume 1,149,219 is 1.87x the 20-day average of 615,948, indicating elevated interest ahead of the aviation-token launch. high

Technical Shares at $3.24 trade well below the $16.03 200-day MA, and remain 95.65% under the $74.50 52-week high.

Peers on Argus

ETHZ gained 1.57% while close peers showed mixed moves, from -7.25% (SLDB) to +5...

ETHZ gained 1.57% while close peers showed mixed moves, from -7.25% (SLDB) to +5.38% (LXRX). With no peers in the momentum scanner and no same-day peer headlines, the activity appears stock-specific to ETHZ’s tokenized aviation announcement.

Previous Crypto Reports

1 past event · Latest: Feb 05 (Positive)

Same Type Pattern 1 events

Date	Event	Sentiment	Move	Catalyst
Feb 05	RWA tokenization plans	Positive	-10.9%	Acquired $4.7M manufactured home loan portfolio for tokenization on Ethereum L2.

Pattern Detected

The only prior crypto-tagged event—manufactured home loan tokenization plans—was followed by a -10.92% move, indicating past RWA-tokenization news was met with selling pressure despite constructive fundamentals.

Recent Company History

This announcement continues ETHZilla’s push into tokenized real‑world assets on Ethereum L2. On Feb 5, 2026, the company bought a manufactured and modular home loan portfolio from Zippy for about $4.7 million, targeting an annualized yield of 10.36% and planning tokenization on Liquidity.io. Today’s news adds aviation exposure via engines leased to a major U.S. air carrier, using on‑chain ERC‑20 structures for revenue‑sharing, reinforcing a multi‑asset RWA tokenization strategy.

Historical Comparison

-10.9% avg move · Past crypto‑tag news saw an average -10.92% move after 1 event. The aviation engine token launch ext...

crypto

-10.9%

Average Historical Move crypto

Past crypto‑tag news saw an average -10.92% move after 1 event. The aviation engine token launch extends ETHZilla’s pattern of Ethereum L2 RWA initiatives.

Progression from planning tokenization of a Zippy home‑loan portfolio to launching the first aviation engine‑backed ERC‑20 token on Ethereum L2.

Regulatory & Risk Context

Active S-3 Shelf

Shelf Active

Active S-3 Shelf Registration 2025-12-18

An effective Form S-3 shelf filed on Dec 18, 2025 covers potential resale of up to 2,726,983 shares (about 14.4% of shares then outstanding) by existing stockholders. ETHZilla will not receive proceeds from these resales but bears registration costs, and the filing highlights risks including stock volatility, potential dilution from other securities, and regulatory uncertainties around digital‑asset activities.

Market Pulse Summary

This announcement introduces ETHZilla’s first Ethereum L2 aviation token, backed by two CFM56 engine...

Analysis

This announcement introduces ETHZilla’s first Ethereum L2 aviation token, backed by two CFM56 engines on lease into 2028 and targeting an 11% return for accredited investors. It builds on February’s $4.7M manufactured‑home loan acquisition, reinforcing a broader RWA tokenization roadmap. Investors may track execution on monthly on‑chain distributions, the performance of aviation and housing assets, and the impact of the 2,726,983-share resale shelf on overall capital markets positioning.

Key Terms

layer 2 (l2), ethereum network, erc-20 token, broker-dealer license, +4 more

8 terms

layer 2 (l2) technical

"Tokenization using Layer 2 (L2) protocols on the Ethereum network enables on-chain verification"

Layer 2 (L2) is a secondary system built on top of a blockchain that handles transactions and computations off the main chain to make transfers faster and cheaper while still relying on the original chain for security. For investors, L2 solutions can increase a network's capacity, reduce fees for users and applications, and influence adoption and transaction volume—similar to adding an express lane beside a busy highway to speed up traffic without rebuilding the road.

ethereum network technical

"Tokenization using Layer 2 (L2) protocols on the Ethereum network enables on-chain verification"

A decentralized, global network that runs programmable financial agreements and digital applications while keeping a shared, tamper-resistant record of transactions and using the cryptocurrency ether to pay for activity. Investors care because how much the network is used, how fast and cheap transactions are, and any technical upgrades or outages directly influence demand for ether and the businesses built on the network — like how traffic and tolls on a highway affect the value of companies that rely on that route.

erc-20 token technical

"distributed on-chain through an ERC-20 token structure, with monthly distributions made"

An ERC-20 token is a type of digital asset built to a common technical standard on the Ethereum blockchain that lets different wallets, exchanges and apps handle the token the same way—think of it like a universal plug or recipe for creating compatible tokens. Investors care because that compatibility makes tokens easier to trade, store and list, but they also carry the platform's operational and regulatory risks, so token design and market acceptance affect value.

broker-dealer license regulatory

"Liquidity.io, a regulated financial institution with a broker-dealer license and authorization"

A broker-dealer license is an official authorization that lets a firm or individual legally buy and sell stocks, bonds and other investment products for clients and for their own account; think of it like a driver’s license for trading that proves you are allowed to operate on public markets. It matters to investors because it signals that the firm is subject to oversight, must follow rules to protect clients, and can offer custody, execution and advisory services—so lack of a license or regulatory actions against it can affect safety, access and the firm’s ability to do business.

regulation d regulatory

"offered exclusively to accredited investors, subject to applicable regulatory requirements, including Regulation D"

Regulation D is a set of rules that govern how companies can raise money from investors without going through the full process required for public stock offerings. It provides simplified options for private placements, making it easier for companies to seek investments from a smaller group of investors. For investors, it offers opportunities to invest in private companies, often with fewer restrictions, but also with different levels of risk and disclosure.

tokenization technical

"plans to tokenize manufactured home loans and car loans through its existing agreements"

Tokenization is the process of converting real-world assets or rights into digital tokens stored on a computer network. This allows assets, such as property or investments, to be divided into smaller parts, making them easier to buy, sell, or transfer electronically. For investors, tokenization can increase access to a wider range of investments and make transactions faster and more efficient.

real-world assets technical

"infrastructure for real-world asset tokenization, today announced the launch"

Real-world assets are physical or financial things of value—like property, commodities, loans, or art—that exist outside digital markets and can be bought, sold, or used as collateral. For investors, they matter because they often provide steady income, reduce reliance on volatile paper markets, and can add diversification much like owning a rental property beside stock holdings. Treat them like tangible building blocks that can stabilize a portfolio and back the value of financial products.

special purpose subsidiary financial

"launch by its newly formed wholly owned special purpose subsidiary ETHZilla Aerospace LLC"

A special purpose subsidiary is a legally separate company created by a parent firm to carry out a specific activity, hold particular assets, or take on a particular project, like placing one tool in its own box. Investors care because it isolates risk and finances: losses or liabilities in the subsidiary usually don’t wipe out the parent, but the subsidiary’s performance, debt and legal structure can still affect the parent’s financial health and investor returns.

AI-generated analysis. Not financial advice.

Marks first deployment of ETHZilla's tokenized finance framework for cash-flow-generating real-world assets

PALM BEACH, Fla., Feb. 12, 2026 /PRNewswire/ -- ETHZilla Corporation (Nasdaq: ETHZ) (together with its affiliates, unless context requires otherwise, "ETHZilla"), a financial technology company building institutional-grade infrastructure for real-world asset tokenization, today announced the launch by its newly formed wholly owned special purpose subsidiary ETHZilla Aerospace LLC ("ETHZilla Aerospace") of the Eurus Aero Token I, a first-of-its-kind tokenized real-world asset instrument, enabling investors to gain exposure to aircraft engines on lease with a leading US air carrier through tradable digital tokens representing contractual revenue rights.

The Eurus Aero Token I is being offered by ETHZilla Aerospace exclusively through the Liquidity.io ecosystem. The token is designed to provide accredited investors with direct exposure to contracted, asset-backed cash flows generated by leased commercial jet engines—an asset class historically only available through private aviation leasing funds or large securitized institutional transactions. By structuring the investment around defined lease terms and customary contractual and operational protections, ETHZilla Aerospace is offering a transparent, income-oriented alternative to traditional private aerospace leasing structures. Tokenization using Layer 2 (L2) protocols on the Ethereum network enables on-chain verification of token holders, automated distributions, and a regulated framework intended to modernize access to real-world, income-producing assets. The token is backed by two CFM56 commercial jet engines acquired by ETHZilla for a total of approximately $12.2 million. The tokens will be offered for $100 each, with a minimum purchase of 10 tokens, and have a target rate return of approximately 11% based on holding for the full term of the lease.¹

"This transaction marks an important milestone in our effort to bring real-world, income-producing assets on-chain at institutional scale," said McAndrew Rudisill, chairman and chief executive officer of ETHZilla. "Offering a token backed by engines leased to one of the largest and most profitable U.S. airlines serves as a strong use case in applying blockchain infrastructure to aviation assets with contracted cash flows and global investment demand. The Eurus Aero Token I expands investment access and modernizes fractional asset ownership in markets that have historically been available only to institutional credit and private equity."

The launch of the Eurus Aero Token I represents the first deployment of ETHZilla's tokenized finance framework for real-world, income producing assets, following months of platform development and previously announced partnerships. Since its inception in August 2025, ETHZilla has built the core capabilities needed to structure, originate, and distribute tokenized RWAs through its investment in Liquidity.io, a regulated financial institution with a broker-dealer license and authorization to list and trade multiple assets and securities as digital assets. 

Under the structure discussed above, the engines are leased to a leading U.S. air carrier, by ETHZilla Aerospace, generating monthly cash receipts that include base rent and utilization-based payments. These cash flows will be collected and then distributed on-chain through an ERC-20 token structure, with monthly distributions made to token holders in cash or immediately available funds, to the extent that funds are available for distribution. Each token is secured by a collateral package consisting of aircraft engines, related lease receivables, reserves, and insurance proceeds pursuant to the transaction agreements with ETHZilla Aerospace serving as the issuer under ETHZilla's management. The leases extend into 2028, providing defined contractual cash flows. The engines are currently unlevered, and ETHZilla does not expect that debt will be used in Eurus Aero Token I to enhance yield.

Engine maintenance and servicing while on lease will be performed by the air carrier with post lease completion by Aero Engine Solutions, an established jet engine services provider. Each lease includes a $3 million put/call right, which allows ETHZilla Aerospace to sell, or requires it to sell at the conclusion of the lease, depending on which party exercises, the engine to the jet engine services provider (subject to customary conditions requirements). Additionally, any residual proceeds left at the end of the lease term are expected to be distributed to token holder's pro rata after applicable taxes, and as a result, such token holders could benefit from both current income and end-of-term capital recovery.

The transaction marks ETHZilla's entry into the large and growing aerospace industry anchored by high-quality, high-yielding assets, establishing a foundation for tokenization that we believe extends beyond the two initial engines brought onto Ethereum L2s. The tokenized interests will initially be offered exclusively to accredited investors, subject to applicable regulatory requirements, including Regulation D, and platform conditions.

Building on ETHZilla's existing tokenized finance capabilities, ETHZilla expects to launch Ethereum L2 tokens for additional asset classes in the near future, including manufactured home loans and car loans through its existing agreements with Zippy and Karus.

About ETHZilla

ETHZilla Corporation (Nasdaq: ETHZ) is an early mover in developing Ethereum-based infrastructure for tokenized real-world assets, bridging traditional finance with blockchain technology. ETHZilla plans to transform illiquid, institutional-grade assets—from auto loans to aerospace equipment—into programmable, tradable financial products on Ethereum Layer 2 protocols. Through a regulated platform and strategic partnerships, ETHZilla is expanding global access to investment opportunities that have historically been limited to select institutions. By tokenizing real-world assets at scale, ETHZilla is creating a new asset class that combines the regulation and stability of traditional finance with the efficiency and accessibility of blockchain technology, which it believes will mark the beginning of a fundamental shift in how real-world value moves through global markets.

No Offer or Solicitation

This press release and the information contained herein is for informational purposes only and is not a solicitation of an offer to buy or exchange any securities, or any commodity or instrument or related derivative, nor shall there be any sale of any such securities in any state or jurisdiction in which such offer, solicitation, sale or exchange would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of the Securities Act of 1933, as amended (the "Act"), or an exemption therefrom. Investors should consult with their counsel as to the applicable requirements for a purchaser to avail itself of any exemption under the Act. Investors should read carefully any other document (including a prospectus or private placement memorandum) that may be issued in connection with the investment and any statements or information provided herein is qualified in its entirety by any information contained in any such document.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the expected benefits of the acquisition of the engines, expectations with respect to future performance, including the expected return on invested capital, and growth of ETHZilla; the ability of ETHZilla to execute its plans, undertake tokenization activities and achieve future performance.

Forward-looking statements are subject to numerous risks and uncertainties, many of which are beyond ETHZilla's control, and actual results may differ materially. These statements may be preceded by, followed by, or include the words "believes," "estimates," "expects," "projects," "forecasts," "may," "will," "should," "seeks," "plans," "targets," "scheduled," "anticipates," "soon," "goal," "intends," or similar expressions. Forward-looking statements are not guarantees of future performance, and involve risks, uncertainties and assumptions that may cause our actual results to differ materially from the expectations that we describe in our forward-looking statements. There may be events in the future that we are not accurately able to predict, or over which we have no control.

Applicable risks and uncertainties include, among others, the performance of the Eurus Aero Token I being issued by ETHZilla Aerospace, including anticipated yields thereof; ETHZilla Aerospace's ability to complete the offering; the Eurus Aero Token I lacking a guarantee by ETHZilla or any other affiliate of ETHZilla Aerospace and there being no recourse to ETHZilla or any other affiliate of ETHZilla Aerospace; failure to realize the anticipated benefits of the tokenization of real-word assets (including the engines discussed above) and other risks associated therewith, including litigation, regulatory, and others; failure to realize the anticipated benefits of ETHZilla's digital asset treasury strategy; previously disclosed stock repurchase program; ETHZilla's ability to achieve profitable operations; risks relating to ETHZilla's recent acquisitions; expectations regarding the capitalization, resources and ownership structure of ETHZilla; ETHZilla's digital asset treasury strategy, the digital assets held by ETHZilla, ETHZilla's current and anticipated yield strategies, including its participation in DeFi protocols and tokenization of real-world assets; fluctuations in the market price of ETH that will impact ETHZilla's accounting and financial reporting; government regulation of cryptocurrencies; ETHZilla's ability to repurchase shares of common stock, the timing thereof, purchase price thereof, and the fact that repurchases may not be undertaken under the stock repurchase program; changes in securities laws or regulations; changes in business, market, financial, political and regulatory conditions; risks relating to the ETHZilla's OTC transactions, including ETHZilla's ability to repay such facilities, covenants associated therewith and security interests associated therewith, including security interests over certain of our cash and ETH; risks relating to ETHZilla's previously announced ATM offering, including potential downward pressure on ETHZilla's stock price associated therewith; risks relating to ETHZilla's operations and business, including the highly volatile nature of the price of ETH and other cryptocurrencies; the risk that ETHZilla's stock price may be highly correlated to the price of the digital assets that it holds; risks related to increased competition in the industries in which ETHZilla does and will operate; risks relating to significant legal, commercial, regulatory and technical uncertainty regarding digital assets generally; risks relating to the treatment of crypto assets for U.S. and foreign tax purpose, expectations with respect to future performance, growth and anticipated acquisitions; potential litigation involving ETHZilla; global economic conditions; geopolitical events and regulatory changes; access to additional financing, and the potential lack of such financing; and ETHZilla's ability to raise funding in the future and the terms of such funding, including dilution caused thereby, as well as those risks and uncertainties identified and those identified under the heading "Risk Factors" in ETHZilla's Annual Report on Form 10-K for the fiscal year ended December 31, 2024 and ETHZilla's Quarterly Report on Form 10-Q for the quarter ended September 30, 2025, as well as the supplemental risk factors and other information ETHZilla has or may file with the SEC. Readers are cautioned not to place undue reliance on these statements. Investors should also be aware that under U.S. generally accepted accounting principles (GAAP), certain crypto assets must be measured at fair value, with changes recognized in net income for each reporting period. These fair value adjustments may cause significant fluctuations in ETHZilla's balance sheet and income statement from period-to-period. In addition, for certain crypto assets, including ETH, which ETHZilla holds, impairment charges may be required to be reported in net income if the market price of such assets (including ETH) falls below the cost basis at which those assets are carried on the balance sheet. Readers are encouraged to read ETHZilla's filings with the SEC, available at www.sec.gov, for a discussion of these and other risks and uncertainties. The forward-looking statements in this press release speak only as of the date of this document, and ETHZilla undertakes no obligation to update any forward-looking statements except as required by law. ETHZilla's business is subject to substantial risks and uncertainties, including those referenced above. Investors, potential investors, and others should give careful consideration to these risks and uncertainties.

¹Actual results may differ materially

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SOURCE ETHZilla Corporation

FAQ

What is the Eurus Aero Token I from ETHZ (ETHZ) and how is it structured?

The Eurus Aero Token I is a tradable ERC-20 token backed by two leased jet engines. According to ETHZilla, tokens represent contractual revenue rights with monthly distributions funded by lease payments and secured by engines, receivables, reserves, and insurance.

How much capital backs each Eurus Aero Token I offering and what is the token price?

The token issuance is backed by two CFM56 engines acquired for about $12.2 million. According to ETHZilla, tokens are offered at $100 each with a minimum purchase of 10 tokens.

What return can investors expect from ETHZ's Eurus Aero Token I and over what term?

The token targets an approximate 11% return if held for the full lease term. According to ETHZilla, distributions come monthly from base rent and utilization payments under leases that extend into 2028.

How will Eurus Aero Token I distribute income to token holders on Ethereum?

Monthly cash distributions are planned to token holders in cash or immediately available funds. According to ETHZilla, distributions will be automated on-chain via the ERC-20 token structure on Ethereum L2s.

Who can buy ETHZilla's Eurus Aero Token I and where will it trade?

The initial offering is available only to accredited investors under applicable rules. According to ETHZilla, the token will be offered exclusively through the Liquidity.io ecosystem with platform and regulatory conditions.