A planned $1.6 billion SPAC merger between Dynamix Corporation (DYNX) and crypto company The Ether Machine has been halted due to unfavorable market conditions, The Ether Machine announced Friday.
The deal, first revealed in July 2025, was to take ether treasury (ETH) company The Ether Machine public on Nasdaq under the symbol ETHM.
The company is designed to act as an Ethereum treasury and yield vehicle, generating yields through staking and decentralized finance strategies while holding large ether reserves. He currently holds 496,712 ETH worth over $1.1 billion, according to CoinGecko data.
Initially, the agreement was notable for its scale. It included a fully committed $1.5 billion PIPE financing deal, described as the largest common stock raising of its kind since 2021, alongside approximately $170 million held in Dynamix’s trust account.
The merged company was expected to start with more than 400,000 ETH on its balance sheet, supported in part by a contribution from co-founder Andrew Keys.
The merger has now been canceled due to what the companies described as unfavorable market conditions. According to The Ether Machine, the two companies “mutually agreed to terminate” the deal. As part of the termination agreement, Dynamix will receive a payment of $50 million within 15 days, according to a filing with the U.S. Securities and Exchange Commission (SEC).
