Ether Machine’s Nasdaq ambitions collapse as the $1.6 B SPAC merger falls through

Key Takeaways

• Dynamix Corporation and The Ether Machine have ended their planned $1.6 billion SPAC merger
• Both firms cited adverse market conditions as the reason for canceling the deal
• Dynamix will receive a $50 million termination payment within 15 days
• The agreement would have listed The Ether Machine on Nasdaq under the ticker ETHM
• Dynamix has until November 22, 2026 to secure a new merger target or liquidate

(SeaPRwire) –   The Ether Machine— a cryptocurrency company holding more than $1 billion worth of ether— has backed out of its proposed $1.6 billion merger with Dynamix Corporation. The deal, which would have made the firm publicly traded on Nasdaq, was canceled on April 8, 2026.

$1.6 BILLION SPAC MERGER PLAN CALLED OFF

The $1.6B SPAC agreement between Dynamix Corp (DYNX) and The Ether Machine has been canceled due to adverse market conditions.

Dynamix is set to get a $50M termination fee. The Ether Machine still holds over $1B in ETH in its… pic.twitter.com/kzilyV5Nhh

— Coin Bureau (@coinbureau) April 11, 2026

Both companies stated they “mutually decided to end” the Business Combination Agreement, pointing to unfavorable market conditions as the cause.

The merger was first announced in July 2025. The plan was for The Ether Machine to go public under the ticker ETHM via a merger with Dynamix, a Nasdaq-listed SPAC.

The Ether Machine was designed to act as an Ethereum treasury and yield-generating platform. It holds 496,712 ETH (valued at over $1.1 billion) and generates returns through staking and decentralized finance strategies.

The deal stood out for its size: it included a $1.5 billion fully committed PIPE financing arrangement, described as the largest all-common-stock raise of its kind since 2021.

The combined company was expected to launch with more than 400,000 ETH on its balance sheet. A large portion of this came from a contribution by co-founder Andrew Keys, an early Consensys member.

Dynamix Secures $50 Million Termination Payout

As part of the termination agreement, an entity linked to The Ether Machine must transfer $50 million to Dynamix within 15 days. This payment is outlined in an 8-K filing with the SEC.

The $50 million sum is substantial relative to Dynamix’s market cap of around $232 million. The exact identity of the paying party has not been confirmed in the filing.

The termination also nullifies related agreements, including Sponsor Support and Subscription Agreements. Both sides exchanged mutual releases and non-disparagement agreements covering potential investor litigation.

What’s Next for Dynamix?

Dynamix isn’t finished yet. The SPAC still has until November 22, 2026 to finalize a new business combination.

If Dynamix fails to find and complete a new deal by that deadline, it must wind down operations, redeem public shares, and liquidate.

The collapse comes as ether’s price has struggled in recent months. Broader interest in crypto-related SPAC listings has also cooled.

Despite this deal falling through, the Ethereum treasury sector remains active. Currently, there are 10 Ethereum treasury companies holding more than 6 million ETH, worth nearly $14 billion combined.

The largest of these is Tom Lee’s Bitmine, which recently uplisted to the New York Stock Exchange. Its board also approved increasing its share repurchase authorization from $1 billion to $4 billion.

Representatives for both The Ether Machine and Dynamix did not respond to requests for comment.