ETHZilla (ETHZ) Stock: Launches First Tokenized Jet Engine Investment With 11% Target Yield
TLDR
- ETHZilla tokenizes jet engines to deliver on-chain aviation income
- New ETHZilla token turns leased aircraft engines into crypto yield
- Jet engine leases move on-chain with ETHZilla aviation token
- ETHZilla launches engine-backed crypto asset targeting 11% return
- Aviation lease revenue enters blockchain via ETHZilla token
ETHZilla Corporation introduced a new digital asset instrument that provides exposure to jet engines under lease with a major U.S. air carrier. The company released the Eurus Aero Token I through its ETHZilla Aerospace unit and structured it around defined lease cash flows. The launch marks a new expansion of tokenized assets and signals a shift toward on-chain aviation revenue products.
Token Backed by Aircraft Engines
ETHZilla Aerospace created the token to give access to contracted payments generated by commercial jet engines. The token runs on Ethereum Layer 2 networks and uses automated on-chain processes for verification and payment distribution. The structure aims to combine asset-backed revenue with transparent digital ownership.
The engine package includes two CFM56 units that ETHZilla purchased for about $12.2 million. The token carries a $100 price point and requires a minimum allocation of ten tokens. The structure targets an approximate 11% rate of return across the full lease term.
ETHZilla set the leasing framework to include monthly receipts supported by base rent and usage fees. The air carrier manages engine servicing while the asset remains on lease. Maintenance completion after return will be handled by Aero Engine Solutions under established agreements.
On-Chain Distribution and Collateral Structure
ETHZilla Aerospace plans to collect lease cash flows and distribute them each month through an ERC-20 framework. The system supports cash distributions when funds are available and uses automated tools for internal settlement. The structure aligns digital processes with conventional lease finance models.
Each token is secured by collateral that includes the engines, related receivables, reserves, and insurance. The leases extend into 2028 and provide predictable payments across the defined term. The engines remain unlevered, and ETHZilla does not expect to add financing to enhance yield.
The transaction also includes a put or call right of $3 million for each engine at the lease end. That mechanism allows a sale to the service provider under customary conditions. Any post-sale proceeds will be distributed pro rata and may increase overall returns.
Expansion of Tokenized Real-World Assets
ETHZilla positioned the launch as the first major deployment of its tokenized finance framework. The company built the system through its stake in Liquidity.io, a regulated platform with digital asset trading authorization. The token will be available only through that ecosystem and will follow Regulation D rules.
ETHZilla plans to expand its product line to additional asset types. Future issuances may include manufactured home loans and car loans under agreements with Zippy and Karus. The company expects continued growth as more real-world income assets move onto Ethereum Layer 2 networks.
The post ETHZilla (ETHZ) Stock: Launches First Tokenized Jet Engine Investment With 11% Target Yield appeared first on CoinCentral.
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