The Ethereum Foundation plans to sell 10,000 ETH ($43 million) through centralized exchanges in multiple orders to limit market impact.
Initiative to Secure Resources and Support Innovation
The Foundation’s ongoing financial strategy, established since June, includes a spending cap set at 15% of the budget and the creation of a cash reserve. After an initial sale to SharpLink Gaming in July, this new announcement emphasizes the Foundation’s commitment to securing resources while funding research, grants, and donations.
A $43 million ETH Sale Strategy Unveiled
The Ethereum Foundation announced this week that it would convert 10,000 ETH through centralized exchanges in the coming weeks. At the current price of around $4,350, the operation amounts to over $43 million. The organization will proceed with successive small sales to avoid any sudden market disruptions.
Strategic Decision Post ETH Surge
This move comes as Ethereum emerges from a record-breaking summer. The second-largest cryptocurrency by market cap reached a new all-time high of $4,953 in late August, driven by institutional staking enthusiasm and scalability solutions. Despite a minor correction, ETH remains in a high price range. In essence, the Ethereum Foundation is capitalizing on the peak of the market.
Structured Cash Management Policy Implemented
This operation is part of the new financial strategy unveiled in June. The Foundation’s annual operational expenses are now capped at 15% of its budget. A multi-year cash cushion has also been established, aiming for a leaner structure in the long term. The goal is to secure the ecosystem while ensuring that funds raised are primarily used for research, grants, and donations.
Following SharpLink, Another Major Sale
This summer has seen the Foundation reduce its reserves multiple times. In July, it had already sold 10,000 ETH to SharpLink Gaming, marking the first sale of a portion of its treasury to a publicly traded company. This previous move garnered attention, boosting the asset’s institutional visibility. The latest announcement confirms the continuity of the strategy, now through traditional exchanges.
Market Watchers Monitor Impact Closely
Investors closely monitor every move by the Ethereum Foundation as its decisions are seen as an internal confidence indicator. Selling at the peak can be interpreted as cautious management or even a signal of profit-taking after a strong rally. However, the organization’s transparent communication and the segmentation of the operation into multiple orders aim to reassure the market following previous criticism.
A Foundation at the Heart of Ethereum’s Future
Beyond the numbers, the strategic significance is clear: these funds will drive the next stages of Ethereum’s research and development, finance ecosystem project grants, and support charitable initiatives. In essence, the money from this sale remains within the crypto universe, strengthening it. For investors, the message is clear: the Foundation is converting some of its gains to ensure the network’s sustainability.
