ETHZilla Buys 20% of AI Lending Platform Karus in $10M Deal to Tokenize Auto Loans

MEVictim

2025-12-03 18:32:44

Source: CryptoNewsNet Original Title: ETHZilla Buys 20% of AI Lending Platform Karus in $10M Deal to Tokenize Auto Loans Original Link: Ether treasury firm ETHZilla (ETHZ) announced the acquisition of 20% stake in Karus, an AI-driven auto loans platform, in a deal valued at $10 million.

The agreement marks ETHZilla’s entry into the U.S. asset-backed securities market by using blockchain to tokenize real-world credit.

Karus specializes in AI models that analyze loan-level risk, leveraging over 20 million historical auto loan outcomes and thousands of real-time variables.

ETHZilla plans to integrate the technology into its Ethereum-based infrastructure to tokenize the loans, converting predictive credit data into tradable onchain assets. The companies indicate that the first tokenized loan portfolios will be available by early 2026.

The transaction comprises $3 million in cash and $7 million in ETHZilla stock. ETHZilla will also gain access to Karus’s network of more than 20,000 U.S. car dealerships, banks and credit unions.

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